Prologis recently announced the acquisition of 295,000 square meters of prime logistic properties in four top locations in Sweden. The deal will strengthen Prologis’ presence in Sweden’s most strategic logistic locations with 11 new properties in the areas of Stockholm, Gothenburg, Mälardalen and Öresund. Bram Verhoeven, senior vice president, regional head Northern Europe at Prologis, is one of the driving forces behind the deal. He explains why the Swedish logistics market is relevant for Prologis.
1. What does this acquisition mean for Prologis in Sweden and globally?
The acquisition complements our existing portfolio excellently. With nearly 300,000 square meters leased completely to well-known companies, it is an extremely attractive package for Prologis as a long-term owner. We increased our logistics space in Sweden to more than 800,000 square meters –with that we are delivering on our long-term vision for Sweden ahead of plan.
Where we see the most added value is that the locations match our existing logistics parks in the strongest markets perfectly. We already have facilities in the regions of Stockholm, Gothenburg and Mälardalen. Öresund, which is located on the Danish border, is a great addition to our portfolio.
This deal underscores our commitment to the Northern European region as one of the most agile logistics areas on the continent. We enlarge our market strength, which is a big advantage for both our existing and new customers.
2. What can new customers expect from Prologis as the new landlord?
In the future, we could provide our customers with access to our platform and offer more and better services all over Sweden, Europe and globally. As a long-term owner, we are always interested in high-quality facilities. We ensure the buildings are maintained to a high standard and that our customers are happy and able to run operations efficiently.
With our in-house property management team, we offer customers a broad range of services: a 24/7 technical assistance hotline with external partners, the coordination of maintenance or expansion work, and transparent accounting for utilities—to name just a few. Every customer has their own contact partner at Prologis.
Reaching a certain market strength will put us in the right position to negotiate with service providers and make the best deals for our customers regarding facility management services.
3. You’ve been successful with investing in logistics parks. Does the new acquisition fit this concept?
The logistics park concept enables us to provide our customers with substantial flexibility when it comes to expanding their logistics capabilities. In turn, this nurtures the long-term relationships that are so important to us. Because the new facilities are in three of our key locations, they are the ideal addition to our existing logistics parks.
The portfolio comprises 11 facilities in top locations—modern and flexible logistics buildings that fulfill today’s advanced requirements of our customers. They are situated in coveted logistics locations and offer optimal transport connections. We are positive that the additions will bring our customers and us to a more favorable position in the Swedish and European market.