Sold on behalf of a pan-European Core strategy, four of the assets are in Norrköping and one in Örebro and have a total lettable area of 153,000 sq. m. PostNord rents three of the logistics assets, with the other two properties being rented by Yokohama and Mitsubishi. Barings acquired the assets on behalf of the strategy in 2020 and 2021 and, among other asset management initiatives across the portfolio, has developed a 31.000 sq. m logistics asset in Örebro, on the back of a signed pre-lease concerning 76% of the premises, achieving BREEAM “in use” Excellent and EPC A.

Norrköping is the fourth largest metropolitan area in Sweden and is home to the Port of Norrköping. The city, which is located close to Stockholm, serves as a crossroad for the E22 and E4 motorways and is one of the top logistics locations in Sweden.

Örebro is one of the Nordics’ best logistics locations given its strategic position in the Nordic triangle of Stockholm, Oslo, and Malmö/Copenhagen.

Closing is planned to take place on January 31^st 2025, conditional upon the Swedish Inspectorate for Strategic Products having made a decision to approve the transaction or leave the transaction without action.

Andreas Norberg, Managing Director and Head of Nordics at Barings Real Estate, said: “Having executed our business plan against these assets, completing this sale marks the latest success for the local team, which has been delivering excellent asset management initiatives on our portfolio as well as having secured this deal off-market. With investment appetite for the logistics sector still strong heading into the new year, we are hopeful to continue this momentum and explore further value-add and core/core+ opportunities in the Swedish market. In addition to logistics, build-to-rent and build-to-sell residential are the major sectors we are focussing on across the Nordics.”

Gunther Deutsch, Managing Director and Head of European Transactions and Country Head Germany at Barings Real Estate, said: “Our latest sale in the Nordics, following the disposal of a Gothenburg logistic asset in early 2024, is a testament to our local asset management/development expertise in delivering quality assets that subsequently achieve beneficial returns for our investors. In total in 2024, we have signed, or are in exclusivity, on six logistics and seven residential development acquisitions across Europe, some of which are in the Nordics. We continue to seek investment opportunities with partners, including developer joint ventures or forward transactions, across our preferred jurisdictions of the Nordics, the Netherlands, Germany, Italy, France, Spain and the UK.”

Contacts
Ben Monteith/Tom Carnegie (SEC Newgate)
baringsRE@secnewgate.co.uk

Barings Real Estate
Barings Real Estate (BRE) is a part of Barings and offers a broad range of global investment opportunities across the private debt and equity investment markets. BRE invests in all major property sectors and offers an expansive range of financing solutions to real estate borrowers.  Follow us on LinkedIn at linkedin.com/showcase/barings-alternative-investments.

About Barings
Barings is a $431+ billion* global asset management firm that partners with institutional, insurance, and intermediary clients, and supports leading businesses with flexible financing solutions. The firm, a subsidiary of MassMutual, seeks to deliver excess returns by leveraging its global scale and capabilities across public and private markets in fixed income, real assets and capital solutions.

*As of September 30, 2024