Rasmala buys German logistics centres for $185m

Rasmala, an investment firm listed in London, bought two logistics facilities worth US$185 million in Germany, adding to its sector portfolio in Europe and the Middle East.

The company, which has offices in London and Dubai, acquired an 88,000 square metre Amazon logistics centre for US$145 million as well as a $40m facility let to a subsidiary of European sports goods retailer Decathalon.

“Well-sited logistics centres let to the right tenants have become a critically important part of any large real estate portfolio.” said Zak Hydari, the group chief executive officer at Rasmala Group.

“Real estate is going to remain a key strategic pillar of our 2018 plans leveraging our expertise in acquiring attractive assets in the most in-demand asset categories, let to blue-chip tenants.”

Rasmala, which has offices in Dubai and Cairo has made a series of investments in the logistics sector. In March, it acquired Amazon’s 93,000 square metres UK fulfilment and distribution centre for $82m.

“E-commerce continues to grow its market share. As a result, distribution centres have taken over from traditional retail space as drivers of rental growth,” said Naseer Aka, head of real estate at Rasmala.

“As the leading e-retailer in the United States and the world’s biggest retailer by market value, Amazon is the kind of blue chip tenant we want.”

Rasmala also owns 120 fully let warehouses worth $140 million in the Dubai Investments Park.

The firm’s recent German acquisitions are located within the Westfalenhuette logistics park located northeast of the central city of Dortmund.

Finance for the two acquisitions was arranged through Germany’s DekaBank, while Addleshaw Goddard and GSK Stockmann were legal advisers. Ernst & Young were the financial advisers, while CBRE and Gulf Islamic Investments were financial and buyside advisers respectively on the deal.