Carlyle, Montano partner to buy €500m of German sheds

[Image: Jake Nebov/Unsplash]

US-headquartered investment manager Carlyle has formed a partnership with Munich-headquartered Montano Real Estate to focus on acquiring logistics real estate worth €500 million in prime urban locations in Germany.

Montano will asset manage Carlyle’s existing 12 logistics properties in Germany, acquired through pan-European real estate fund Carlyle Europe Realty which has a volume of €540 million.

The partners said that their main focus will be “German cities with attractive demographic and economic fundamentals”.

Carlyle and Montano said that their goal is also to create value through an active management and letting strategy. This will include renovation and selective repositioning. The aim is also to increase the value of the portfolio to about €500 million.

Erik Orbach, director of the advisory team at Carlyle Europe Realty, said: “Germany is one of the most established and attractive logistics markets in Europe. It is characterised by high demand and a simultaneous lack of high-quality, modern logistics properties.”