Trevian invests alongside Partners Group in large-scale logistics real estate transaction – Trevian will act as asset manager and grow the portfolio further
Trevian acted as the buyer’s advisor for the purchase, by private markets investment manager Partners Group, of the SaKa Hallikiinteistöt real estate portfolio in Finland. The portfolio contains 140,000 m2 of real estate in Finland’s most central logistics and industrial areas. Trevian will manage the portfolio post acquisition, and the parties aim to grow the portfolio further. Logistics are an attractive and sought-after sector in the real estate investment industry.
The SaKa portfolio transaction, which includes a total of 20 properties, is one of the largest in Trevian’s history. Partners Group, acting on behalf of its clients, is the primary owner, while Trevian is also invested in the portfolio and will continue as the real estate asset manager of the portfolio. The sellers in the transaction were Mandatum and Kaleva Mutual Insurance Company.
The logistics and industrial sector has become one of the most appealing in real estate, supported by the rise of online shopping, increased logistics needs, and office space purpose redesign. Occupancy is becoming tighter, and it can be difficult for occupiers to find good premises; for example, the market vacancy rate is around 4% and has been decreasing for a long time, which underlines the strength of the sector.
“We are proud that we were able to facilitate the completion of the transaction. In the future, our goal is to increase the portfolio even further, and buy more assets of similar characteristics. Amidst the challenges of the general market situation, we establish a new and important relationship with Partners Group through this transaction, further strengthening our position as Finland’s leading commercial real estate asset manager”, says Investment Director Risto Vuorenrinne from Trevian.
Partners Group, alongside Trevian, will execute the value creation plan and seek to scale the portfolio into a leading platform in Finland. Key value creation initiatives will include re-leasing assets at market rents, executing extensions to fulfil tenant expansion needs, as well as targeted capex initiatives to upgrade facilities with a strong focus on ESG-enhancement.
“We have been actively targeting the logistics sector across Europe and investing in select opportunities in strategic growth locations. The way we work, live, and consume is fundamentally changing and is increasing the demand for logistics occupiers in Finland, an export market relying on logistics to support its key economic industries,” says Johan Johansson, Private Real Estate Europe, at Partners Group.
Trevian Asset Management is a Finnish investment and asset management company specializing in commercial and residential properties. The company was established in 2012 and is owned by its key personnel. The company produces actively managed real estate equity funds and asset management services optimized for its customers. The services are focused especially for institutional real estate investors, banks, and other professional investors. Trevian’s assets under management near 1.0B€. www.trevian.fi/en/
About Partners Group
Partners Group is a leading global private markets firm. Since 1996, the firm has invested USD 185 billion in private equity, private real estate, private debt, and private infrastructure on behalf of its clients globally. Partners Group seeks to generate strong returns through capitalizing on thematic growth trends and transforming attractive businesses and assets into market leaders. The firm is a committed, responsible investor and aims to create sustainable returns with lasting, positive impact for all its stakeholders. With USD 131 billion in assets under management as of 30 June 2022, Partners Group provides an innovative range of bespoke client solutions to institutional investors, sovereign wealth funds, family offices and private individuals globally. The firm employs more than 1,600 diverse professionals across 20 offices worldwide and has regional headquarters in Baar-Zug, Switzerland; Denver, USA; and Singapore. It has been listed on the SIX Swiss Exchange since 2006 (symbol: PGHN). For more information, please visit www.partnersgroup.com or follow us on LinkedIn or Twitter.
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