Hines Buys 2 More Logistics Facilities in Poland
- Sep 16, 2013
Houston-based international real estate firm Hines has acquired two logistics facilities in Poland, totaling seven warehouses comprising 753,200 square feet, via its Hines Russia & Poland Fund from TMW Pramerica Property Investment GmbH.
The price of the transaction was not disclosed.
“Hines is expanding and broadening its business as to the types of properties and types of strategies along the risk curve,” Mieczyslaw Godzisz, senior managing director and country head for Hines in Poland, told Commercial Property Executive. “This purchase is part of that planned broadening of activity as applied to the Polish platform.”
The facility in Gadki contains five warehouses with a total area of 322,800 square feet. The property in Grodzisk Mazowiecki includes two warehouses containing 430,400 square feet. Both are in close proximity to the A2 motorway, which connects Warsaw with Berlin.
“The most compelling reason behind this purchase was excellent location of both properties, in immediate proximity of the newly completed highway connecting Warsaw and Berlin, a transport route that has been gaining in importance since its opening in June 2012,” Godzisz said. “Location of both properties was the key driver behind the decision to buy as it promises lasting value of the properties, if properly managed and looked after.”
The facilities were constructed between 1995 and 2004 as build-to-suits for the Raben group, a large logistics outsourcing firm, which still remains a tenant in each property. Hines Poland will serve as asset manager and property manager.
According to Godzisz, because the assets will need improvements at the expiration of the current leases, Hines did not have many competitors in the purchase process. With a team of nearly 50 in four cities in Poland, Hines has a strong presence in the area and is capable of adding value.
The transaction increases the portfolio of industrial space managed by Hines in Poland to approximately 3 million square feet. Hines is also active in Poland through its Hines Global REIT, which in March acquired a 481,070-square-foot Class A office complex in Warsaw from Europejskie Centrum Inwestycyjne.
Godzisz said it is continuing to evaluate other potential projects in Poland in both development and investment.