Net Lease
We advise our own Net Lease funds whose single strategy is focused on investments in operationally mission-critical corporate real estate across selected industry sectors and commercial property types.
In a sense, the Funds provide an "intermediation platform" between corporate customers seeking to release capital tied up in real estate assets and investors seeking transparent growing income from a diversified set of high-quality corporate credits.
As corporate boards focus more closely on optimizing the efficiency of capital, sale leaseback financing provides an alternative source of long-term credit to traditional secured, unsecured and equity-focused financing.
This monetization of on-balance sheet real estate provides corporations with continued operational control, enhanced financial metrics and potential tax benefits.
Investment Criteria
GEOGRAPHY
European Union & U.K.
TRANSACTION SIZE
€10 million - €250 million
ASSET TYPE
Commercial real estate: primarily industrial, logistics and office assets
LEASE TYPE
Double or triple-net
inflation linked
LEASE LENGTH
10
20 years preferred.
10 years minimum
TENANT
Credit worthy
(does not need to be rated)
Transactions
DURA AUTOMOTIVE SYSTEMS
Einbeck (Germany), Daun (Germany) & Koprivnice (Czech Republic)
Sale & Leaseback of three strategic European production facilities (total of 70,875 sqm of lettable area)
Tenants are leading suppliers of industrial vehicle and passenger car parts.
SHILOH INDUSTRIES / ALUDYNE
Oss, the Netherlands
Sale & Leaseback of its main European production facility (20,535 sqm of net lettable area)
Tenant is a leading global supplier of lightweighting, noise and vibration solutions to the automotive industry.
IMA HQ
Bologna, Italy
Off-market Sale & Leaseback of world-leading machine production company (26,982 sqm of lettable area)
Parent company is a world leader in the design and manufacture of packaging machines for a number of industries and was established in 1961.
AVECO
Frankfurt, Germany
Sale & Leaseback of Wisag HQ (18,800 sqm office building)
Tenant is No 3 largest facility management service provider in Germany. This asset was bought for €36.5m in April 2015 and sold for €47m in June 2017.
UPONOR
Hassfurt, Germany
Build-to-suit warehouse (16,500 sqm), completed in September 2014
Tenant is No 3 globally in plumbing solutions.
K-FLEX 1 + 2
Lodz, Poland
Build-to-suit manufacturing and distribution center, acquired in
March 2014 (34,200 sqm).
Tenant is No 3 globally in insulation
and tubing.
