25 Abr 2024

M7 Real Estate achieves 43% rent increase at c. 26,200 sq m logistics asset near Lisbon, Portugal, demonstrating commitment to value enhancement

M7 Real Estate (“M7”), the pan-European investor and asset manager, announces that it has signed a lease re-gear for a total of c. 26,200 sq m of newly refurbished logistics space near Lisbon in Portugal with an international specialised food distributer and specialised retail operator. The new deal represents an increase in rental value of more than 40% over the previous year’s headline rent.

Following an extensive programme of works at the asset, the existing tenant has signed a new seven-year lease for the entire space across two buildings in Alcochete, an established hub for distribution near Lisbon. The WALT for the portfolio stands at five years, indicating stability and long-term value.

M7 executed a comprehensive asset management strategy to improve the specifications of the buildings, including repairing the drainage systems, as well as upgrading docking and loading equipment, which has added substantial value for both tenants and investors alike.

João Salema Garção, Senior Asset Manager at M7 Real Estate in Portugal, commented: “Our ability to secure a higher rent demonstrates the attractiveness of the property, which is testament to the effectiveness of our asset management and leasing strategies. We remain focused on identifying and unlocking value within our logistics portfolio, and capitalising on the positive supply and demand dynamics in key locations such as Lisbon. In Portugal, we continue to see robust occupational demand for well-located assets, underpinning our continued conviction in this market.”