Blackstone, the world’s largest alternative asset manager with over $1 trillion in assets under management, will acquire an 80% stake in Burstone’s Pan-European Logistics (PEL) platform, valued at €1.02 billion (R20 billion). Burstone will retain a 20% interest and continue managing the portfolio, while the transaction awaits regulatory and shareholder approval.
Since 2017, the PEL platform has amassed 32 strategically located logistics properties across seven European countries, primarily in Germany, France, and the Netherlands. Covering 1.2 million square meters, the portfolio boasts a 97% occupancy rate with over 110 tenants, mainly in third-party logistics, leveraging the properties’ strong transport links and proximity to key urban hubs.
In a joint effort, Burstone and Blackstone plan to further expand the PEL platform by targeting new industrial and logistics property acquisitions in major European markets.
Andrew Wooler, CEO of Burstone Group, remarked:
“Our goal has been to establish strategic partnerships in Europe, and we’re pleased to partner with Blackstone. This collaboration strengthens our relationship and unlocks new growth potential for our platform, particularly in scaling our investment management business.”
James Seppala, Head of European Real Estate at Blackstone, added:
“Logistics is a core investment focus globally. This portfolio, with its ideal location in key European logistics markets, complements our existing assets and positions us to meet the growing demand driven by the e-commerce boom.”
Blackstone’s Acquisition of Mileway
This transaction echoes Blackstone’s recent acquisition of Mileway, the largest operator of urban logistics properties in Europe, in a deal valued at €21 billion. Much like the Burstone PEL acquisition, Mileway was strategically focused on the high-demand logistics sector, driven by the rapid growth of e-commerce. Blackstone took full ownership of Mileway in 2022, further cementing its stronghold in the European logistics market.
Both deals reflect Blackstone’s strategy of investing heavily in logistics, particularly assets located near major urban centers. The Mileway acquisition, like the Burstone transaction, underscores the rising value of logistics properties as e-commerce trends reshape supply chain needs across Europe. With robust market demand and strategically located assets, Blackstone continues to expand its logistics portfolio in core European regions.
The Burstone deal, though smaller in scale, aligns with Blackstone’s overarching investment thesis: acquiring well-located, high-occupancy logistics properties that benefit from the surge in e-commerce and third-party logistics.
Read Similar…
Logistics Site Acquisition Highlights Key Warehousing Trends
