Acquisition of a logistics property in the Rhine-Main area from Branicks

The property is located in Hochheim am Main, strategically located between Frankfurt, Mainz, and Wiesbaden with very good connections to the A3, A671, A60, and A66 motorways. The property is currently fully let. After the remaining leases expire, PAA and Scantum DW plan to upgrade the property into a Grade A logistics asset by way of partial demolition and new development. This will affect approximately 70% of the existing asset that was built in the 1970s, with the remainder built in the 2000s to be refurbished. The project has been underwritten to DGNB Gold¹ standards and, once completed, the asset will be heated without fossil fuels.

Future tenants can look forward to benefiting from a flexible logistics space, available from around 5,000 sqm up to almost 20,000 sqm. Scantum DW will take over the operational implementation and marketing of the space. 

Simon Geldmann, Head of Germany & Benelux Real Estate at Pictet Alternative Advisors, said: "We are very pleased to have secured this value-add opportunity in such a strong location with the ability to create a long-term sustainable asset. European logistics in strategic last-mile locations remain a high-conviction sector for us, fueled by continuing demand and strong fundamentals. This transaction provides us with an asset located in the heart of the Rhine-Main area, making it perfect for urban distribution and an ideal base for further acquisitions with similar strategies. I look forward to seeing the property’s true potential once our refurbishment program is complete."

This transaction marks Pictet’s second purchase in Germany, the first being a 20,000 sqm logistics asset in North Rhine-Westphalia in close proximity to the Dutch border. 

Geldmann adds: "Germany is a key strategic market for our value-add strategy. Having been extremely prudent during a challenging period for the country’s real estate market – we only made our first German investment in August 2024 after several years of scrutinizing opportunities there – we are now seeing much more compelling entry points for some very attractive assets." 

Vincent Schneider MRICS, Managing Partner at Scantum DW, comments: "The excellent location in the Rhine-Main area convinced us all. We will be developing a very modern and sustainable logistics property in the coming months in order to be able to offer tenants from various sectors flexible logistics rental space." 

Pictet and Scantum DW were advised by Greenberg Traurig, Sirios Management Partners, Noerr, and CBRE.