ICG Real Estate Sells Munich Logistics Hub for €22M

ICG Real Estate has divested a strategically positioned urban logistics facility in Munich, Germany, for approximately €22 million. The transaction marks a successful exit for the real estate division of the global alternative asset manager, ICG, from a core asset within its portfolio.

The property, located in Obersendling, a key industrial district just seven kilometers from Munich's city center, was acquired by Global Gate Capital. This acquisition adds a significant asset to Global Gate Capital's growing German logistics portfolio, which now exceeds €100 million in value across six high-quality sites. The deal was financed with acquisition loan support from Volksbank Ostbayern.

This Munich facility is a mission-critical distribution hub for Alliance Healthcare Deutschland, Germany's leading pharmaceutical wholesaler. The asset benefits from a long-term, triple-net, index-linked lease with Alliance Healthcare Deutschland, ensuring a stable and predictable income stream. The weighted average lease term remaining stands at an impressive 12 years, underscoring the asset's enduring value proposition.

Krysto Nikolic, Global Head of ICG Real Estate, highlighted the strategic importance of the sale, stating, "Through this disposal, we have been able to deliver an attractive outcome for our clients while meeting ICGRE’s strategic objective of exiting select assets within our portfolio. The property’s strong income profile and prime location enabled the sale of this core asset to a high-quality long-term investor."

Maximilian Link, Head of Germany at Global Gate Capital, expressed enthusiasm for the acquisition, calling it the "ideal final piece for the GLIP portfolio." He emphasized the asset's unique, inner-city location and its prime tenant on a long-term lease, aligning perfectly with Global Gate Capital's investment strategy focused on quality income generation.

The German logistics sector continues to demonstrate robust performance, driven by sustained e-commerce growth and the increasing demand for efficient supply chain solutions. Urban logistics assets, in particular, are highly sought after due to their proximity to population centers, enabling faster delivery times and reduced transportation costs. This transaction reflects the ongoing investor appetite for well-located, income-generating logistics properties in key European markets.

ICG Real Estate was advised by PTXRE. Global Gate Capital received legal counsel from Friedrich Graf von Westphalen & Partner, technical advice from Albrings + Müller AG, and tax advice from Altavis.