Principal Asset Management acquires logistics hub in Granada

Principal Asset Management, managing the European logistics fund LOG IN (in partnership with Theoreim), has acquired a 10,301 m2, purpose-built last-mile logistics warehouse in Granada, Spain.

LOG IN Granada

Completed in 2022, the facility is fully leased on a long-term triple net basis to a major global e-commerce and logistics operator, with an 8.5-year unexpired term and two five-year extension options. This acquisition marks LOG IN's largest investment to date, enhancing its portfolio of high-quality logistics assets anchored by leading global tenants.

Strategically located within the Parque Metropolitano de Escúzar in Granada, along the vital Mediterranean corridor, the asset supports the tenant's regional distribution network and can process up to 45,000 parcels daily, serving as a critical last-mile hub in southern Spain. The property, custom-built for the tenant, features modern logistics infrastructure, including automated sorting systems, multiple loading bays, and EV charging capabilities.

The acquisition aligns with LOG IN's ESG strategy, boasting BREEAM Very Good certification, an EPC A rating, and an on-site photovoltaic installation. This transaction exemplifies LOG IN's "Best-in-Progress" approach, focusing on acquiring prime assets in strong locations with robust environmental credentials and secure, long-term income streams.

LOG IN aims to expand its exposure across industrial, logistics, data centre, and life sciences sectors, targeting assets valued between €5 mln and €25 mln, adding to its existing portfolio of 20 assets across six European countries.

Guillaume Masset, head of transactions and asset management for Europe at Principal Asset Management, said: “Assets that combine a strategic location, modern specification and a strong covenant are increasingly difficult to secure and highly value-accretive for investors. This acquisition demonstrates our ability to access high-quality investment opportunities and to build resilient real estate portfolios across Europe.”

Romain Welsch, president of Theoreim, added: This acquisition is part of a fundamental shift: the acceleration of logistics needs linked to changing consumption patterns and the need for ever more efficient supply chains. This landmark acquisition is the SCPI’s largest investment to date. It is with a sense of pride that it involves a recently built property with a BREEAM Very Good rating, leased to a major global player in logistics and e-commerce.”