GLP has raised 1.2 billion euros for its third pan-European logistics income fund. The target is 1.5 billion euros. GLP invests in logistics, data infrastructure, renewable energy and related technologies.
Luxembourg and London, 23 March 2022 – GLP announced today that it has reached a €1.2 billion (~$1.3 billion) first close for GLP Europe Income Partners III SCSp (“GLP EIP III”), which seeks to generate long-term, stable returns by investing in high-quality and well-designed properties in key logistics and distribution locations across Europe.
GLP EIP III is the third vintage of the firm’s flagship pan-European logistics income fund series, targeting €1.5 billion+ of total equity commitments and in excess of €3 billion of assets under management (“AUM”) once fully deployed. Past performance does not predict future returns.
Ralf Wessel, Managing Director of Fund Management, 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.”
Daan van den Hoven, Managing Director, GLP Europe, said: “We believe 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.”
Investor demand for GLP EIP III for the first close has been led by leading institutional investment partners, the majority of whom are existing GLP investors. Through this transaction, GLP welcomes its first Japanese investors into its Europe fund series.
GLP EIP III is actively managed and seeded with a portfolio of 34 high-quality logistics assets comprising ~1.5 million square metres (~16 million square feet) 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, leveraging GLP’s expansive investment origination channels and global relationships with owners and customers to source both single asset and portfolio deals.
The EIP series was launched by GLP in 2017. GLP EIP III’s immediate predecessor fund – the €1.6 billion, 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. In Europe, GLP is one of the longest-standing fully-integrated logistics investors, developers and operators and manages approximately €14 billion (~$15 billion) of AUM across Europe’s strongest logistics markets.
GLP is a leading global investment manager and business builder in logistics, data infrastructure, renewable energy and related technologies. Our combined investing and operating expertise allow us to create value for our customers and investors. We operate across Brazil, China, Europe, India, Japan, the U.S. and Vietnam and have more than $120 billion in assets under management in real estate and private equity.