GLP has reached a €1.2bn (£1bn) first close for its latest European logistics fund.
The Europe Income Partners III fund is the third in the firm’s flagship pan-European logistics income fund series, targeting more than €1.5bn of total equity commitments and in excess of €3bn of assets under management once fully deployed.
Ralf Wessel, managing director of fund management at GLP said: “Today’s announcement represents another vote of confidence from our investors. Our Europe business continues to demonstrate continued momentum and strong demand, and GLP EIP III seeks to enable GLP and its capital partners to capture the market opportunity. We expect to increase the fund size beyond its initial target on the back of strong investor demand and a robust acquisition pipeline.”
Investor demand was been led by existing GLP investors, but also included the first Japanese investors into GLP’s Europe fund series.
Daan van den Hoven, managing director of GLP Europe, said: “We believe that European logistics market fundamentals remain highly attractive, driven by structural supply constraints coupled with robust demand emanating from accelerating e-commerce penetration rates across major European economies. GLP has carved a niche by leveraging our network and expertise to source both single-asset and portfolio deals, most of them off-market, to provide investors with immediate scale to capitalise on strengthening sector tailwinds.”
GLP EIP III is actively managed and seeded with a portfolio of 34 logistics assets comprising around 16m sq ft of space in strategic logistics locations across Europe. The seed portfolio comprises a high proportion of newly built assets with an average age of 2.5 years and was mainly sourced via off-market transactions.
GLP launched its EIP series in 2017. The second fund – the €1.6bn, 2020-vintage GLP EIP II – was fully allocated within 18 months on the back of strong occupier demand and low vacancies across major European markets.
GLP manages approximately €14bn of AUM across Europe.
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