Palmira and Apollo tie up for €1bn European logistics investment

The Frankfurt-based logistics investment manager Palmira Capital Partners has formed a joint venture with the European Principal Finance III Fund (EPF III) managed by giant alternative investment manager Apollo with the goal of investing more than €1bn in European logistics assets.

Both companies report already having invested €100m across four acquisitions in Germany over the past three months. Those properties are the Ixocon-Projekt for Brammer GmbH in Bergkamen (13,200 sqm), two buildings in Berlin-Falkensee that are leased to BLG, and a 42.000 sqm structure owned by fashion logistics specialist Meyer & Meyer in Osnabrück. Further assets in five countries with a total value of more than €400mn are still undergoing due diligence.

The joint venture is concentrating on core and future core assets in Germany, the Benelux, Central and Eastern Europe, France, and the Iberian Peninsula.

Palmira's founder and CEO Alexander Hoff commented, “The logistics market across Europe remains very strong with a constantly growing demand from occupiers. We have long been looking for an experienced partner like Apollo to execute a pan-European logistics investment strategy.”

Sebastian-Dominik Jais, Partner of Apollo European Principal Finance said, “We are looking forward to working together with the Palmira. We are excited about this joint venture, as we believe the combination of Palmira’s outstanding operating capabilities and entrepreneurial spirit will allow us to drive strong performance for our respective investors.”

Palmira Capital Partners is an independent real estate investment company specialising in industrial property that provides investment management, asset management and property management services. It manages an equity capital volume of over €1.3bn for its investors, from offices in Germany, Austria, Luxemburg, the Netherlands, Spain and Poland.