Aldar Properties, a leading UAE real estate developer, has invested AED 407 million with Carlyle in European logistics and storage assets. The partnership includes a majority stake in a UK warehouse portfolio and investments in self-storage facilities across Western Europe. Leveraging expertise, Aldar aims to shape and expand these assets while diversifying its revenue streams. This move aligns with Aldar's broader strategy to tap into high-growth real estate sectors and expand internationally, marking significant steps beyond the MENA region.
Aldar Properties, a prominent real estate developer, investor, and manager based in the UAE, has solidified its global expansion strategy with a substantial investment of AED 407 million (USD 111 million) in logistics and storage assets in Europe. This move is part of a strategic partnership with the global investment firm Carlyle. Through this partnership, Aldar has committed to Carlyle Europe Realty (CER) platform, Carlyle's pan-European real estate strategy.
Additionally, Aldar has acquired a majority stake in a co-investment platform, which includes a portfolio of 14 warehouses strategically located across key logistics hubs in the UK. These warehouses boast a combined gross leasable area (GLA) of 900,000 sq ft and are currently fully occupied with potential for significant reversion. Alongside Carlyle and other investors, Aldar has also invested in a portfolio of self-storage facilities and development sites in Western Europe.
Aldar intends to leverage its expertise in development and asset management to enhance the value of these portfolios. The partnership with Carlyle provides Aldar with an opportunity to further expand its presence in the logistics and self-storage segments in collaboration with an established player in the European real estate market. These investments are expected to anchor Aldar's logistics business and contribute to its growth trajectory in both local and international markets.
For Carlyle Europe Realty, these private equity investments align with Aldar's recent commitments to European commercial real estate private credit and its acquisition of London-based developer, London Square. These moves mark Aldar's expansion beyond the MENA region, signalling a broader strategy aimed at diversifying revenue streams, geographic presence, and scaling up its platform.
The UK logistics market has witnessed robust demand driven by the increasing online penetration and the growing need for supply chain flexibility. Limited industrial land availability has led to high occupancy rates and heightened demand over the past decade. Similarly, the self-storage industry in Europe has experienced significant growth due to demographic trends such as urbanization and increasing mobility among labour and students. Despite this growth, the self-storage sector still exhibits relative undersupply compared to the US market, presenting opportunities for further expansion and investment.
Aldar Properties' partnership with Carlyle and its investments in European logistics and self-storage assets underscore its commitment to strategic expansion and diversification in high-growth real estate sectors. These moves position Aldar for sustained growth and success in both local and international markets.
Advertisement
Facebook
Whatsapp
