CTP recently bought a 335,000 sqm brownfield site from French manufacturer Vallourec in Mühlheim, Germany
Dutch logistics and business park specialist CTP has been particularly active in Germany recently, with an acquisition and a transfomation plan on two major sites in North Rhine-Westphalia, Germany's most populous state.
It recently bought a 335,000 sqm brownfield site from French manufacturer Vallourec in Mühlheim, which it pans to turn into a major new business park. The site has been housing an industrial rolling mill, which CTP plans to convert into a business park providing 160,000 sqm of R&D, laboratory, co-working and industrial and logistics spaces for companies in high-growth technology-focused sectors including life sciences and IT manufacturing. Construction on the park should begin in early-2025.
CTP says the investment is in response to increased demand from high-tech businesses for suitable premises for their operations. Many international businesses are also ‘nearshoring’ the manufacturing of high-tech products to Europe to be closer to where their customers are located and reduce supply chain risk. New EU regulations such as the European Chips Act are also driving companies to manufacture within the EU.
Also recently, the company announced plans to develop a 60,000 sqm logistics park by developing an existing park in Krefeld, likewise in North Rhine-Westphalia. Construction will start this year on 32,000 sqm of industrial and logistics space, followed by the redevelopment of the existing 15,700 sqm logistics warehouse and 2,150 sqm of office space, which is currently leased.
Timo Hielscher, managing director for Germany, CTP
Timo Hielscher, CTP managing director for Germany, commented: ‘Our strategy as a portfolio holder focuses on important metropolitan areas. This naturally includes the federal state of North Rhine-Westphalia as a leading business location in Germany and the city of Krefeld in particular, which has become one of the strongest commercial locations in the region in recent years.’
Earlier this year, CTP committed €300 million towards expanding its German warehouse portfolio, aiming to double its pan-European network of business parks by the end of the decade. It currently boasts 33,000 sqm of industrial and logistics space under development, as well as a land bank of 155,000 sqm.
CTP entered the German market in 2022 with the acquisition of Deutsche Industrie REIT-AG, which had a 1.6 million sqm portfolio, for about €800m. CTP now has a team of 50 employees in three offices across Germany.
