GREYKITE European Real Estate Fund I has completed the first acquisition for its €1bn Lagerhome European multi-let industrial (MLI) platform.
The fund has signed contracts to acquire a 94,400 sq m multi-let industrial portfolio in Sweden, comprising 27 properties, which will seed the newly-formed platform.
The portfolio is being acquired from Regio, a commercial real estate company backed by the Third Swedish National Pension Fund (AP3), and will be managed by minority joint venture partner Broadgate Asset Management.
GREYKITE is targeting investments in similarly strategic and supply-constrained industrial sub-markets in Sweden, the UK and Germany for the Lagerhome platform and is targeting circa €1bn of investment over the next 18 to 24 months. It said that the fund, which formally launched in March 2024, already had a “strong pipeline in exclusivity”.
Michael Abel, founder and CEO of GREYKITE, said: “As we continue to construct a diversified portfolio within our high conviction areas of living, industrial and digital, launching a European MLI platform is a natural next step. The sector is displaying an attractive combination of growing tenant demand, and with replacement costs significantly above acquisition costs, an undersupply of well-connected, flexible space in Europe’s high growth urban centres will persist. Lagerhome aims to capitalise on these supportive fundamentals to quickly scale into one of Europe’s leading MLI portfolios.”
Dan Valenzano, senior partner at GREYKITE, added: “Launching Lagerhome with this initial acquisition is consistent with GREYKITE’s disciplined focus on scalable investment themes driven by resilient income growth, working alongside best-in-class JV partners like Broadgate. The ongoing macro volatility continues to present a highly attractive opportunity for proactive, well-funded managers with deep pan-European networks.”
