Intelligent Real Estate Investments - Hines

Hines acquires land in Hamm for logistics project as part of new investment strategy in Germany

(MUNICH) — Hines, the international real estate firm, is moving ahead decisively with its new investment strategy in the logistics sector. The company today announced that it has made off-market purchases of two plots of land with a total area of 115,400 square meters in Hamm in the state of North Rhine-Westphalia. It plans to build facilities with flexible floor plans, with a total of up to 68,900 square meters of hall and office space and unit sizes starting at 9,000 square meters. Construction is scheduled to start before the end of 2019.

The two properties represent the start of a series of developments in line with Hines’ new investment strategy in the logistics sector. At the Hamm location, the company will develop a logistics complex comprising two halls designed to deliver the utmost in flexibility and efficiency. The project will be DGNB-certified and will feature outstanding connectivity.

"We want to continue developing logistics properties through innovations. To achieve that goal, we are currently exploring alternative timber-based modular construction methods as well as customized furnishings and facilities. For example, we plan to further upgrade the properties by providing sleeping quarters for drivers or fitness/sports facilities for all employees," says Alexander Möll, Hines senior managing director.

"With the purchase of the two sites in Hamm, we have acquired a top-quality space for the booming logistics industry in the eastern Ruhr district. This is a clear statement on our new growth ambitions in the logistics sector. We will now push ahead with the development of this location for a future sale in the market," adds Christian Meister, managing director at Hines.

Financing for the project is being provided by Hamburg Commercial Bank. DE GOLD is also involved as a cooperative partner in the Hamm projects in an advisory role. "We are working with Hines to develop hall spaces that are fully aligned with the needs of future users in logistics, trade and industry," says Jan Dünzelmann, managing partner at DE GOLD. GSK in Munich provided Hines with legal advice.

Hines launched the new investment strategy in Germany in March with the purchase of a logistics complex in Maintal in the state of Hesse. In total, the company is planning to make capital investments of up to 400 million euros in small to mid-sized logistics properties over the coming 18 to 24 months. Hines will also focus on the development of selected locations, either with a develop-to-hold approach or with the aim of selling the properties in the market at a future date. The high-quality standards associated with the Hines name always ensure strong brand recognition for the company's properties—and not only in Germany.

With the new strategy, Hines is expanding its established investment approach, which has concentrated on core properties. In response to the rapidly growing demand for high-quality logistics facilities, the company is making a decisive move to benefit from the future potential of this segment.

Hines is a privately owned global real estate investment firm founded in 1957 with a presence in 214 cities in 24 countries. Hines has approximately $120.6 billion of assets under management, including $66.5 billion for which Hines provides fiduciary investment management services, and $54.1 billion for which Hines provides third-party property-level services. The firm has 128 developments currently underway around the world. Historically, Hines has developed, redeveloped or acquired 1,348 properties, totaling over 444 million square feet. The firm’s current property and asset management portfolio includes 512 properties, representing over 223 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most-respected real estate organizations in the world.

Since the opening of its site in Germany in 1991, Hines has acquired or developed a total of 40 properties with an overall surface area of over 1.6 million m² for Hines or on behalf of external clients, including properties such as the Main Tower, 160 Park View and the Silberturm in Frankfurt, Zoom and Wohnpark Südkreuz in Berlin, Hofstatt, Uptown München and OSKAR in Munich, the Überseequartier Nord district in Hamburg, the Benrather Karree and Kö-Quartier in Düsseldorf, and the Postquartier and Kronprinzbau 1+2 in Stuttgart. Hines currently manages property in Germany with an overall value of around €4.1 billion as an asset and development manager.

Since entering Europe in 1991, Hines has grown its European platform to include a presence in 55 cities in 13 countries. Hines currently has over €16.7 billion of assets under management in Denmark, Finland, France, Germany, Greece, Ireland, Italy, Netherlands, Norway, Poland, Spain and the United Kingdom.

Further information is available at www.hines.com and www.hinessustainability.com for more details about the sustainability program and the objectives of Hines.