LONDON (Alliance News) - Aberdeen Standard European Logistics Income PLC on Monday said it acquired a newly built pre-let warehouse in Zeewolde, the Netherlands, for EUR29.3 million.
In addition, the investor said it agreed to buy an existing cross-dock warehouse in Waddinxveen, also in the Netherlands, for EUR33 million.
Aberdeen Standard European said the warehouse in Zeewolde has been pre-let to industrial valve products distributor VSH Fittings BV on a 15-year lease, commencing in June next year.
The tenure is freehold and the total plot size is 55,000 square metres, with the warehouse comprising 35,000 square metres alongside office space and 161 parking places.
Meanwhile, the warehouse in Waddinxveen is leased to fruit and vegetables retailer Combilo International BV on a 15-year triple net lease. The freehold property itself is an existing cross-dock warehouse of 28,000 square metres with 51 loading doors providing facilities across six units.
Aberdeen Standard European believes this warehouse will generate a durable income stream, thanks to its central location, good building specifications, and long lease with a strong covenant tenant.
Looking forward, the company said, with the exchange of contracts on Zeewolde and Waddinxveen, its portfolio is expected to generate a healthy income return.
The pipeline of investment opportunities for the company remains strong, it said, with the investment manager at very advanced stages of due diligence on a number of potential acquisitions.
"The board and the Investment Manager remain confident that the market for European logistics assets will continue to offer many attractive investment opportunities in the future," Aberdeen Standard European said in the statement.
Aberdeen Standard European shares were trading down 0.9% on Monday at 102.52 pence each.
Abrdn Euro Log (ASLI)