abrdn Euro Logistics - Waddinxveen Extension and Lease Signing

abrdn European Logistics Income

10/08/2022 07:00

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RNS Number : 4646V  abrdn European Logistics Income plc  10 August 2022

10 August 2022

LEI: 213800I9IYIKKNRT3G50

 

abrdn European Logistics Income plc

 

Waddinxveen warehouse extension completion and new letting at Madrid site

 

abrdn European Logistics Income plc (the "Company" or "ASLI") announces that
it has signed the purchase agreement for the acquisition of the recently
completed warehouse extension at Waddinxveen, the Netherlands, for a total net
purchase price of €4.9 million.

 

The Company exercised its right of refusal over this development located
directly adjacent to the existing warehouse bought in 2018. This land, owned
by and developed with our tenant Combilo, has provided an additional c. 2,400
sqm of cooled warehouse space and 157 sqm of office space. The extension will
allow Combilo to service its growing client base, including a Swedish
supermarket chain. The lease runs concurrent with the original, with over 11
years remaining, and will generate additional rent of c. €250,000 per annum,
reflecting a yield of 5%. The extension complies with the latest energy
neutrality standards in the Netherlands and includes 16 rooftop solar panels,
resulting in an A+++ energy rating.

 

This asset management initiative is expected to be immediately value accretive
and enhances the income producing qualities of this modern, well located
asset.

 

In addition, the Company is pleased to announce that it has agreed a new 5
year lease with ADER at Unit 3, part of Phase II at its Gavilanes site,
Madrid. ADER provides distribution services to companies in the freight and
logistics sector and is consolidating its operations in the Gavilanes area
with the leasing of this second, 7,375 sqm building. The annual contracted
rent of almost €470,000 per annum is fully CPI indexed and in line with
expectations.

 

Evert Castelein, Fund Manager for ASLI, commented: "Supporting our tenants as
they expand is a key part of our strategy. This is another example of how
flexibility and the option to extend buildings within our portfolio can create
additional value over the medium term."

 

"The new lease with ADER not only improves the portfolio's income
characteristics, but also underscores the desirability of the Gavilanes
assets, which offer access to c. six million people across the wider Madrid
area."

 

For further information please contact:

abrdn
                                +44 (0) 20 7463
6000

Luke Mason

Gary Jones

 

Investec Bank
plc
+44 (0) 20 7597 4000

Denis Flanagan

David Yovichic

 

FTI
Consulting
+44 (0) 20 3727 1000

Dido Laurimore

Richard Gotla

James McEwan

 

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