Segro acquires European properties from Standard Life

Industrial property company Segro's logistics joint venture has acquired a €43m portfolio from Standard Life's European Property Growth Fund.

The real estate investment trust's 50%-owned SEGRO European Logistics Partnership (SELP) snapped up a portfolio of three modern, fully-let logistics assets in France, the Czech Republic and Germany from Standard Life Investments for €42.9m (£33.8m).

The portfolio, which is fully let, has been acquired at a net initial yield of 8.4% and generates €3.9m (£3.1m) of passing rent.
Segro's chief investment officer, Phil Redding, said: "This transaction is a good example of our ability to source attractive off-market deals in markets we know well.

"Together with the €472m of logistics acquisitions within SELP already completed this year, it also demonstrates our ability to act as a consolidator of the fragmented continental European logistics market."

Segro acts as asset, property and development manager for the SELP joint venture.