Savills Investment Management (Savills IM), the international real estate investment manager, has successfully sold the last remaining asset, a logistics property in Hyvinkää, Finland, on behalf of its Nordic Logistics Club Deal fund. The property was sold to a fund managed by Swiss Life Asset Managers Nordic. With this successful divestment in accordance with the business plan, Savills IM has achieved, for a core strategy, a double-digit IRR at fund level for its German institutional investors over a 10-year period.
Since its launch in 2014, the German special fund has invested in eleven logistics properties in Sweden, Denmark, Finland and Norway. The aim of the fund was to benefit from stable income streams and sell all properties after a holding period of ten years. An IRR of over 12% at fund level was achieved, significantly exceeding the target of 8%.
The sale in Finland followed the successful implementation of asset management measures to further upgrade the logistics property. The building, located north of Helsinki, was expanded by around 11,000 square meters of lettable area, which involved merging two plots, moving an access road and making changes to the infrastructure. With at least 18 e-charging stations, additional solar panels and so-called rain gardens, the sustainability features of the property were also further optimised and the asset just received BREEAM Excellent certifications in both BREEAM New Construction and BREEAM In-Use. The total rental space of 47,000 square meters is now fully let to the Swedish building materials supplier Ahlsell, which played a key role in the expansion project and has committed to the site for the next 15 years.
Savills IM was advised on the transaction by JLL and Krogerus.