An occupier-led strategy is the key to Redevco’s growth in Europe
Redevco has acquired specialist investment manager Roebuck. The company’s new head of logistics Hugh Macdonald-Brown tells Richard Betts how it will scale across Europe
In this interview with Real Asset Media’s Richard Betts, Hugh Macdonald-Brown, head of logistics at Redevco, outlines the firm’s approach to scaling a dedicated logistics platform across Europe. He discusses the strategic rationale behind targeting core markets, the value of local expertise in today’s capital environment, and the operational synergies emerging from integration of Roebuck with Redevco’s business.
In September, Redevco announced the acquisition of Roebuck, the specialist logistics investment and asset manager with approximately €1 billion in AUM across the UK and continental Europe. The creation of a dedicated logistics arm further diversifies its pan-European real estate platform, coming after the recent move into real estate debt.
The acquisition marks a strategic expansion that aligns seamlessly with Redevco’s broader investment universe. By complementing its established strengths in retail parks and urban transformation, logistics can enhance Redevco’s ability to create connected opportunities across the supply chain. As one of the largest retail park owners in Europe, with €5.5 billion AUM, there is an opportunity, according to Macdonald-Brown, particularly in continental Europe, to support Redevco tenants as they expand or seek to upgrade their existing warehouse space.
Driving growth
However, Macdonald-Brown sees the main synergy coming from bringing the two businesses together and becoming part of the Redevco platform with a certain scale and infrastructure in place which many other managers do not have.
“We have the sector-specific network, expertise, and knowledge, and Redevco has seven offices in six key European countries, with an excellent team of people who do everything from origination, capital raising, deal execution and asset management,” he says. This is especially important in today’s market, where “investors know what types of logistic assets they are looking for and capital wants to invest where there is a local presence, local knowledge and local expertise.”
Opportunities in core Europe
In terms of investment strategy, Redevco sees core markets as the main opportunity. “Now’s the time to be super-disciplined and to focus on areas where we see the strongest demand. That is the key Western European markets,” says Macdonald-Brown.
Redevco wants to be invested in both mid- and big-box logistics, as well as urban last-mile logistics. It also continues to expand the team with the recent hire of Camila Malzkorn as head of transaction management logistics DACH.
“Redevco’s strategic focus and ambitious plans in the logistics sector align perfectly with my professional background and expertise. Building and further developing the logistics platform in the DACH region presents an exciting challenge that I’m very much looking forward to tackling together with the team,” she says.
Macdonald-Brown sees opportunities across core markets in Europe. “Germany is an absolute key focus alongside the UK, France, the Netherlands and Spain. If you look at the macro, Spain is outperforming the rest of Europe, but we prefer the urban set-up in Spain versus a big-box strategy.”
Occupier-led strategy
Roebuck developed joint ventures and occupier-led projects in the past, and this approach is set to continue, according to Macdonald-Brown. “As Redevco Logistics, we have the option to use our balance sheet as part of our strategy when appropriate, while also retaining the option to seek third-party capital partners as opportunities arise. It chimes with an occupier-led approach in the sense that we’re now in a cycle where creating value requires growing your income. To grow your income, you’ve got to work with your tenant.”
This includes working with leases, and “understanding how critical an asset might be within the supply chain of the occupier. Is there an inherent rental reversion that can be captured over the hold period?” Macdonald-Brown sees an occupier-led strategy as key. “We want to buy real estate that occupiers want to be in.
As we continue to work closely with our network of investors, we now have the opportunity to partner with investors who are looking for a larger platform and scale, and the ability to seed assets alongside meaningful co-investment abilities.”
Sustainability has a key role
Sustainability is a hugely important consideration according to Macdonald-Brown. “Firstly, it’s just the right thing to be doing. So, everyone must have a living consciousness of how we can make things better for the world and the planet.”
The question is, how does that translate into real estate? This can be very challenging, especially when looking at the supply chain of the solutions we want to incorporate to enhance the sustainability performance of our assets. This can add complexity when considering a decarbonisation strategy.
“The way we look at it from a real estate point of view, is that you know you want to install as much renewable-energy initiatives as possible, but there are limitations. Solar on roofs where possible is an obvious thing to consider. We’ve also installed a wind turbine on a warehouse in Avonmouth to benefit from the high winds near the port.”
Redevco is looking at battery charging and storage. “I think we would always target units which are built in a more efficient manner. So they are more compliant at the date of acquisition,” he says.
Renewable energy initiatives
In addition to the real estate initiatives, an important element of the strategy is “finding ways to use your renewable-energy initiatives to help your occupier base, because, ultimately, they’ve got a carbon commitment. Especially if they’re big corporates,” says Macdonald-Brown
Cost is also an issue for occupiers, with the instability of energy pricing creating significant increases. This has led to a drive to find ways to reduce fixed overheads. “Renewable energy can help provide a stable, lower energy cost. This chimes with our occupier-led approach. You can use sustainability as a force of good,” he says.
Deliberate strategy shift
Redevco’s latest move builds on a series of strategic initiatives that reflect its evolving investment strategy. Following its entry into selective urban living, a sharpened focus on retail parks, and the launch of its real estate debt and special situations platform, the acquisition of Roebuck marks another deliberate step toward diversification. This signals a clear shift toward building a pan-European investment platform designed to attract institutional capital and create value.
On a strategic level, Macdonald-Brown believes “the acquisition of Roebuck fits seamlessly into Redevco’s broader growth strategy, which includes expanding its retail park portfolio and launching a real estate debt platform”.
“Logistics complements Redevco’s existing strengths in retail parks and urban transformation, providing connected opportunities in the supply-chain space and aligning with our long-term vision of building a platform that creates transformative real estate while generating value for clients.”
Roebuck strengthens Redevco’s logistics capabilities, with €1 billion in AUM and a proven occupier-led approach, complementing the resilience of retail parks and the value-add potential of
urban transformation. The debt platform enables Redevco to support sustainable development and retrofitting projects, offering institutional partners greater product optionality and ESG-aligned returns.
“For institutional investors, this is a signal that Redevco is evolving from a family-owned asset manager into a multi-strategy, institutional-grade platform capable of delivering stable income, development upside and sustainability impact across equity and credit investments.”
