Verdion brings new asset to Leipzig logistics market

Verdion brings new asset to Leipzig logistics market

Verdion has executed a further development for its Verdion European Logistics Fund (VELF 1), with the completion of an 11,800 sq m asset in Lützen, near Leipzig in Germany.

The new, Grade A property on Hallesche Straße comprises 10,077 sqm of high quality warehousing with 12m clear height and a 24x12m column grid as well as a 1,124 sq m mezzanine and 599 sq m of offices, plus HGV, car and cycle parking, in a landscaped environment. It has been designed to meet the DGNB Gold sustainbility rating, with a roof ready for PV panels and charging stations for cars and bikes as part of the overall specification.

Hallesche Straße is located close to the A9, connecting Berlin and Munich, while the Rippachtal interchange 9km to the north links to the A38 and provides easy access to the southern areas of Leipzig and the A4 30 minutes to the south connects with Dresden, Poland, and Czechia in the east as well as major cities further west.

Verdion acquired the 40,000 sq m site in 2021 and is refurbishing the fully-let, existing 8,500 sq m building as well as creating this additional 11,800 sq m asset.

Sebastian Achten, Senior Leasing and Development Manager at Verdion, said: “This is energy efficient, market-led space at a size with high demand in the Leipzig area. In this market, which is dominated by 3PLs but with good activity from the industrial and retail/wholesale sectors, we expect flexible leases, along with this completion milestone, to be a further draw.”

Oliver Kemper, Investment Director at Verdion, said: “Completion of this new development is a further step forward in the execution of the business plan and our VELF1 strategy – focussing on opportunities with value-add in strategic logistics locations across Europe and creating long-term value. It is a high calibre asset in an established, well-connected commercial cluster and we have now more than doubled the amount of lettable industrial and warehouse space within the site boundary.”

This milestone follows Verdion’s leasing of its speculative logistics development in Nettetal, close to the Dutch border and Venlo, to Advanced Supply Chain (ASC) prior to completion in July 2023. The 21,647 sqm redevelopment, also part of Verdion’s VELF1 fund, has been taken by the UK-based e-commerce supply chain specialist’s first warehouse in Germany.