Logistics specialist GLP and partner Canada Pension Plan Investment Board Europe and QuadReal Property Group are to increase the size and scope of the Continental Europe Development Partners I fund to €4 billion AUM in order to target the UK and CEE markets.
CPP Investments has committed €900 million of equity, representing a 45% share and QuadReal has committed €800 million of equity, representing a 40% share, with the remaining 15% held by GLP.
When the fund was launched in 2018 the partners contributed €1 billion of which CPPIB contributed €450 million and €2 billion of assets under management (AUM) was being targeted. GLP CDP I was established in 2018 to develop modern logistics assets in Continental Europe including Germany, France, Italy, Spain and the Netherlands.
The upsize will be used to transform GLP CDP I into a Pan-European development vehicle by strategically expanding in the United Kingdom and Central and Eastern Europe markets via the acquisition of landbank and select high-quality logistics development opportunities.
“This upsize is testament to how well GLP CDP I has performed since its inception. Our investment pipeline is considerably ahead of schedule and we are seeing strong demand for our developments, reflecting attractive fundamentals for logistics development across all major hubs in Europe,” said GLP managing director fund management Ralf Wessel.
Since entering the European market in 2017, GLP has more than tripled its AUM. Following the increase in size of GLP CDP I, GLP now manages more than €12 billion of AUM across Europe’s strongest logistics markets.