H.I.G. Realty Deepens Commitment to Last-Mile Logistics Investment in France

In a strategic move marking a significant expansion in the logistics sector, H.I.G. Capital has announced the acquisition of key logistics assets in two of France’s major metropolitan areas: Paris and Lyon. The investment focuses on enhancing last-mile logistics capabilities, an increasingly crucial area for real estate and urban infrastructure development.

As a game-changing player managing approximately $68 billion in assets, H.I.G. has acquired two fully leased logistics properties that are strategically situated in prime locations. These locations boast direct access to major highways and airports, which is vital for effective supply chain management. With a combined area of about 50,000 square meters across six properties, the investment illustrates H.I.G.'s commitment to fostering urban logistics capable of meeting the highest industry standards.

Riccardo Dallolio, Executive Director and Head of H.I.G. Realty in Europe, expressed enthusiasm about the acquisition, noting, "We are delighted to strengthen our logistics footprint in France with these essential assets in both Paris and Lyon. This investment aligns with our strategy of acquiring strategically located properties that will support our long-term urban logistics platform expansion." This expansion is particularly timely given the rising demand for efficient last-mile delivery solutions in urban areas, highlighting the growing importance of logistics in the real estate landscape.

Jérôme Fouillé, also an Executive Director at H.I.G. Realty, emphasized the resilience and attractiveness of last-mile logistics as an asset class, particularly in markets like Paris and Lyon where supply is limited. "This acquisition reinforces our confidence in the strong fundamentals of the sector and its long-term growth potential. We continue to actively pursue opportunities to expand our logistics platform across France," he stated. This positive outlook is backed by the shift in consumer behavior towards faster delivery options, which has paved the way for substantial growth in the last-mile logistics segment.

Founded in 1993, H.I.G. Capital has established itself as a leading global alternative investment firm with a diversified investment focus. H.I.G. Realty targets value-added properties that can benefit from improved asset management practices. In addition to their real estate endeavors, H.I.G. also engages in private equity and debt investments, further diversifying their portfolio.

Currently, H.I.G. has invested in and managed over 400 companies globally, and their portfolio encompasses more than 100 businesses generating combined revenues exceeding $53 billion. This recent acquisition in France is viewed as a strategic effort to position H.I.G. Realty for future growth in the dynamic urban logistics landscape, underscoring the firm's commitment to sustainable investment practices in a market that is expected to see significant growth.

As urban centers continue to evolve, H.I.G. Capital’s proactive approach to enhancing logistics capabilities will likely play a crucial role in shaping the future of last-mile delivery solutions in France. With ongoing investments and a forward-looking strategy, H.I.G. Realty is positioned to adapt to the ever-changing demands of urban logistics while contributing positively to the environments in which they operate. As they continue to explore further opportunities, the investment landscape in urban logistics is set for potential transformations, driven by the escalating demand for efficient delivery services in key markets like Paris and Lyon.

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