Palm Logistics Develops a 115,000m2 Logistics Hub in Getafe (Madrid)

27 March 2019 – Press Release

Palm Logistics, the dedicated affiliate of Palm Capital, the pan-European real estate private equity specialist, is set to deliver a large logistics hub in Madrid, to meet the pent-up demand for modern logistics in the capital and respond to the rapid growth of e-commerce and supply chain rationalisation across Europe.

The site, covering more than 115,000 m2 across 10 grade-A logistics buildings, will provide the best ‘last mile delivery’ option to Madrid while being easily accessible to the rest of Spain and across Europe.

The first phase, due to complete this summer, comprises a 33,000m2 leasable area across two buildings with the ability to offer modules from 7,000m2 to 20,000m2.  The buildings will be certified LEED Silver, having been built to the highest quality standard with key sustainability considerations in mind.

Gavilanes is located close to main roads, the airport and the Abroñigal intermodal station with its large roads and roundabouts adapted to the traffic of heavy vehicles.  The site is already home to several first-class international companies including Amazon, Decathlon, Costco, Mercadona, and ID Logistics.

Original story: Press Release

Edited by: Carmel Drake

Press Release: The first phase of construction is underway at Palm Logistics Madrid-Gavilanes

Phase I of this world class project comprises 33,000 sqm of lettable area and will offer flexible logistics modules ranging from 7,000 sqm, as well as bespoke purpose-built solutions.

This will be the first Spanish logistics development by London and Madrid based real estate investment firm Palm Capital, via its specialized arm Palm Logistics

CBRE will be the sole letting agent of this high quality and highly efficient project.

Palm Logistics Madrid-Gavilanes is situated in a strategic location thanks to its proximity to Madrid, the city’s main motorways and the airport.

Madrid, 3 August 2018 – The first phase of construction of Palm Logistics Madrid-Gavilanes is underway at Gavilanes Industrial Estate (Getafe), in the south of Madrid. Phase I of the project will include 33,000 sqm of lettable area – of a total of 115,000 sqm  – set on a 50,000 sqm plot, and will offer flexible logistics modules from a minimum of 7,000 sqm, right through to purpose-built solutions for large occupiers and operators with specialist requirements. This world leading project comprises two logistics properties featuring very high standards of quality, energy efficiency and sustainability and CBRE will be the sole letting agent.

“Palm Logistics Madrid-Gavilanes is an integrated development that will lead the way in providing innovative, efficient and sustainable solutions for a rapidly evolving Spanish logistics sector. In fact, the project is expected to be awarded a LEED Silver Certification, and will achieve energy savings close to 40% compared to competing sites, through various proprietary solutions”, explained Adrián Romero-Amich who recently joined Palm Capital’s Madrid office to spearhead logistics developments in Iberia.

This project will also meet the very strong tenant demand for logistics, particularly in the important South Madrid catchment area. Palm Logistics Madrid-Gavilanes offers modern facilities with wide roads and roundabouts adapted for heavy goods vehicles.

One of the project’s key factors is its location, given that the Gavilanes Industrial Estate is situated in the local coverage area -just 18 km from Madrid- and also provides national coverage, thanks to its easy access to the main motorways, its proximity to the airport and the Abroñigal intermodal station. These features have already helped to attract first-rate companies to the industrial estate, such as Amazon, Decathlon and Makro.

Spain’s industrial and logistics market is currently seeing significant growth and is highly sought after by national and international investors. In the words of Alberto Larrazábal, CBRE’s National Director of Industrial and Logistics, “The e-business and e-commerce domain is reinventing this real estate asset class and Palm Logistics, thanks to its unique location, quality infrastructure and access, is firmly establishing itself with the arrival of first-rate companies”.

Palm Logistics has also recently acquired a 28,135 sqm logistics platform in the Copenhagen Airport. Currently occupied by DHL and Postnord, the platform serves air cargo and logistics operators, thanks to its exclusive direct runway access. The property also has the potential for a 12,351 sqm extension.

Reda Khatim, managing partner at Palm Capital stated that “these two recent transactions demonstrate our firm commitment to the European logistics space and will form a key part of our Pan-European growth strategy in this sector.  We are definitely planning to grow further in the Spanish logistics market and are currently analyzing a number of very exciting investment opportunities.”


Lar España Excites the Market with its Logistics Portfolio

23 April 2018 – Expansión

The Socimi, which owns five complexes in Guadalajara and Valencia, has received a dozen offers for its assets, all of them for a price of more than €75 million.

Some of the players that have bid for Lar España’s logistics portfolio include the US fund Blackstone, P3 Logistic Parks – a platform controlled by the Singapore sovereign fund -, Palm Capital, CBRE Global Investors, Ares Management and Nuveen, according to market sources speaking to Expansión.

In the logistics sector, the Socimi in which the fund manager Pimco holds a stake, owns four complexes in the municipality of Alovera (Guadalajara), in the heart of the Corredor del Henares.

Together, that site comprises ten logistics warehouses with a total constructed surface area of 142,630 m2 occupied by tenants such as Saint Gobain Isover Ibérica, Tech Data, Carrefour and Factor 5. In addition, the Socimi owns a logistics complex in Almussafes (Valencia) containing a logistics warehouse with a constructed surface area of 19,211 m2. That warehouse is occupied by Valautomoción, the supplier of car parts and accessories to Ford, which was acquired by Ferrostaal in 2015.

According to the latest figures published by the Socimi, its portfolio of logistics assets has a valuation of almost €90 million. Moreover, Lar owns around 200,000 m2 of space for a new logistics development in Cheste (Valencia), which it is not planning to sell until it has finished construction there, to make the investment profitable, according to information reported by the company at the time.

According to Lar’s accounts, the land, which it purchased less than a year ago from Bertolín, has doubled in value since the investment was made. The Socimi paid €2.2 million for the 112,813 m2 plot in Cheste in May 2017 and, at the end of last year, it had a market value of €5.2 million.

Other divestments

Lar España has launched an asset rotation plan to raise cash and undertake new investments in shopping centres After selling two office buildings to Colonial, both in Madrid, for €112 million, the company now has three office buildings in Madrid and Barcelona worth around €85 million.

Moreover, it expects to raise €110 million from the sale of its stake in the luxury residential development Lagasca 99 (Madrid), which it owns jointly with Pimco.

In parallel, the company is going to maintain its investment plan. It expects to allocate €220 million to new acquisitions in retail centres and parks and will invest €247 million in developments, especially commercial ones, and another €49 million on improving its assets.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Palm Capital Acquires 3 Logistics Projects in Getafe from BCM

26 February 2018 – Observatorio Inmobiliario

Palm Capital has become a protagonist in the Spanish logistics market with the acquisition of three projects in the Los Gavilanes Business Area in Getafe from the property developer BCM (MCA Group). The operation, advised by the real estate consultancy Proequity, involves the acquisition, under the forward funding method, of three turnkey logistics projects with constructed surface areas of approximately 33,000 m2, 25,000 m2 and 27,000 m2, respectively.

The price for which the agreement has been closed has not been disclosed by the parties, but the value of the three completed projects is estimated to amount to around €100 million.

The first project that is going to be constructed will comprise two platforms measuring 22,000 m2 and 11,000 m2, which may house up to four different operators. It is expected to be ready for delivery by the first half of 2019.

With this acquisition, Palm Capital is going to become the main owner in the Los Gavilanes Business Area, with more than 85,000 m2 of leasable logistics space under ownership. Gavilanes represents the first acquisition that Palm Capital made in the Spanish logistics market and marks the beginning of an ambitious expansion plan through which it intends to acquire and build more logistics assets in the short term.

The Los Gavilanes Business Area is positioned in a strategic location in the south of Madrid, 16km from the centre of the Spanish capital. It has quick access to the A-4 highway between Madrid and Andalucía and 1,500 m2 of its façade overlooks the M-50 ring road. For this reason, first-class companies such as Amazon and Decathlon have already chosen the location for their distribution centres.

Original story: Observatorio Inmobiliario

Translation: Carmel Drake