Investment management firm Brookfield has expanded its French logistics footprint by roughly 1.6 million sq ft following the acquisition of four sites in prime locations throughout France’s supply network. Brookfield’s French logistics platform, Castignac, will manage all of the assets. The company has 25+ assets and projects worth over €1 billion under management.
The sites span central France. Brookfield chose the locations with a focus on strategic transport links to the rest of the country and the wider continent. They are part of Brookfield’s strategy to provide Grade A assets to blue chip tenants. The initiative is in response to a growing trend of reconfiguring and strengthening regional supply chains.
Castignac, backed by Brookfield’s trusted network, empowers the logistics industry to create resilient supply chains of the future with tech-powered premises and a unique approach to brownfield redevelopments.
Its flagship logistics park, e-Valley, is a state-of-the-art carbon-conscious mega-infrastructure project of over 10 million square feet of warehouses, service areas and landholding – located on a decommissioned NATO military base in Cambrai, France.
Strategic site selection
Sites in Mer and Meung sur Loire in the Orleans region in the Atlantic corridor are close to the A10 Paris – Bordeaux axis linking the capital to the southwest of the country. The asset in Satoles en Bonce is Brookfield’s first acquisition in Lyon, which is an attractive submarket in France due to its proximity to the airport and direct access to the A43 Lyon – Geneva axis. The fourth asset in Marolles, South Paris, is located on the A5 motorway which connects Paris to the Langres area and is expected to extend into Switzerland.
Dan Benhamou, Senior Vice President at Brookfield, said: “As we continue to see significant demand for scaled logistics solutions across Europe, we are pleased to acquire these prime logistics assets across France. These premises add to our significant footprint of high-quality warehouse space in strategic locations which connect France with the rest of Europe, allowing us to continue to support tenants in building robust supply chains throughout the continent.”
Site Acquisition Details
Mer – Orleans
c. 650,000 sq ft Grade A asset fully occupied by a major tenant with a resilient business model on acquisition. Acquired from CBRE Investment | Broker: Cushman & Wakefield | Notary: Wargny Katz | Technical and environmental advice: Andine Group.
Satoles en Bonce – Lyon
c. 150,000 sq ft Grade A asset fully occupied by a major tenant with a resilient business model on acquisition. Acquired from CBRE Investment | Broker: Cushman & Wakefield | Notary: Wargny Katz | Technical and environmental advice: Andine Group.
Meung sur Loire – Orleans
c. 320,000 sq ft asset currently vacant with capital expenditure programme to enhance the building and align technical specifications with current market standards. Acquired from abrdn | Broker: EOL | Notary: Jacquin et Associé | Technical and environmental advice: Andine Group.
Marolles – South Paris
c.400,000 sq ft Grade A XXL asset with permission for a further c.500,000 sq ft to be built over land area of c. 2.2 million sq ft. Existing building is to be leased at estimated recovery value (ERV), and the extension will be built following a pre-let. Acquired from FM Logistics | Broker: CBRE | Notary: Wargny Katz | Technical and environmental advice: Andine Group and IREO.
The asset holds SEVESO low-threshold for dangerous substances storage and an exceptional Haute Qualité Environmentale (HQE) certification. Eight additional cells are to be built including storage of hazardous products and solar panels will be installed on the ground of the green spaces of the land extension.
Brookfield has built a leading European logistics business across Europe. Its gross leasable area is on track to reach 43 million square feet (sqft) by the end of 2024. Brookfield is a long-term global partner for blue-chip clients. The company signed 4.3 million sqft of notable leases with blue-chip customers over the past twelve months. The first quarter of 2024 alone accounted for over 3.2 million sqft of activity.
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