ELAD INVESTMENTS EXPANDS ITS LOGISTICS PORTFOLIO WITH SUSTAINABLE DEVELOPMENT IN MAGDEBURG, GERMANY

ELAD Investments has acquired 77,000 sq m (825,000 sq ft) greenfield site in Magdeburg, Saxony-Anhalt region of Germany. The strategic acquisition paves the way for the development of a new sustainable 32,000 sq m (347,000 sq ft) logistics building and represents ELAD’s third logistics scheme in Germany alongside other sites in Hamburg and Dortmund.

The scheme will be developed to a high specification with a focus on sustainability, featuring solar panels on the roof, energy-efficient LED lighting, fossil-free heating via heat pumps, green roofs, bicycle parking, EV charging station and a dedicated wellbeing area. The project is targeting DGNB Gold certification from the German Sustainable Building Council.

The site is ideally positioned for traditional logistics and e-commerce operators, being close to the motorways A2 and A14 that traverse Germany and offer quick access to Berlin, Hamburg, Leipzig and Hanover. Magdeburg is a well-known centre for logistics, and tenants there include Samsung, Amazon, DPD, DHL, Dascher, and Hermes. The city also has strong growth prospects following the recent announcement by Intel and the German Government that a €30bn production facility will be developed there.

As part of its strategic initiative to invest in, develop, and manage a diverse range of sustainable assets across Europe, the recent acquisition represents a significant milestone in ELAD’s expansion within Germany’s rapidly growing logistics sector. In total, the business’ logistics portfolio features 1.4 million sq m of developments across key sites in Germany, France, Spain, Italy, Poland and the Netherlands.

The completion is planned for the end of 2024.