CTP, the Netherlands headquartered industrial and logistics property specialist, has created a new German arm following the takeover and delisting of Deutsche Industrie REIT.
The move means that Germany now represents approximately 15% of CTP’s portfolio and provides its third largest market presence after the Czech Republic (42%) and Romania (21%).
The group has also announced that CTP Germany plans to invest €1 billion in development projects over the next five years and will “implement a disciplined development strategy” to double CTP Germany’s current GLA to 3.2 million sq m by 2026.
The firm will also comprehensively upgrade and drive the sustainability credentials of what it refers to in a statement as “the previously undermanaged” DIR assets.
Recruitment drive planned for CTP Germany
Udo Stöckl, formerly principal and managing partner at advisor Avison Young in Germany, has been appointed chief operating officer of CTP Germany. He will report to Remon Vos, CEO of CTP and CTP Germany. The company will also recruit more staff for dedicated regional teams in four locations. The staff will total 50 people including current DIR employees.
“We have strategically entered this market at scale, buying significantly below replacement cost and acquiring a major platform in one of the most attractive logistics markets in Europe,” Stöckl said. “The portfolio offers many opportunities to add substantial value through upgrades and active asset management. We envisage growth coming from last mile and infill development opportunities around major urban centres, as well as from science and technology parks.”
Vos added: “The German market is a compelling investment opportunity as it allows us to expand CTP’s network to meet growing occupier demand for urban logistics in one of Europe’s strongest economies. We will now be able to offer existing and new customers access via CTP’s platform to the trans-European supply chain network across markets from the Black Sea to the North Sea.
“We have identified multiple opportunities to significantly enhance CTP Germany’s portfolio by applying the same disciplined development and operational skills that have been perfected in Central and Eastern European markets over the past 23 years. We will bring the portfolio up to our demanding ESG standards over time, maintaining our lead as the only major pan-European industrial and logistics real estate company with a 100% BREEAM-certified portfolio of ‘very good’ and above.”