10 January 2022


GLi, the investment platform operated under a joint venture between PATRIZIA AG and KSP, has added a fifth strategic location to its fast-growing London portfolio with the acquisition of the VIP Industrial Estate, Charlton, in an off-market deal.

The 6-acre estate in Charlton is situated in the heart of the South-East London Core Industrial Zone, an area of the market that is hugely sought after with the ever-increasing demand for well located, high-quality logistics space.

The acquisition follows the launch of the GLi platform with an initial GBP 200 million seed portfolio. The addition of Charlton to GLi’s growing portfolio further bolsters its Greater London offer, focused on meeting increasing market demand for last mile and last hour logistics space within the M25. Locations previously confirmed include Croydon and Mitcham, South London, and a further two sites in Park Royal, West London.

As with all GLi properties, Charlton will be highly energy efficient and redeveloped on a net zero carbon basis, making sustainability and ESG credentials a priority. Additionally, it will be electric powered and will include multiple car and van EV charging points. Units will be designed with customer and employee wellbeing considerations at the heart, such as access to natural daylight, air conditioning and bicycle storage.

The VIP Industrial Estate is strategically located, offering road access to the Blackwall tunnel on the adjacent Greenwich peninsula, providing fast connectivity north of the Thames. It will also benefit from direct access to the Silvertown tunnel when construction is completed. Additionally, the nearby A2 provides connections into Central London and to the A20, a major arterial road for freight. Charlton train station is a few minutes’ walk away, and the Jubilee Line at North Greenwich provides commuter connections into Zone 1.

David Johnson, Chief Executive Officer at KSP, said: “The addition of Charlton will open up our Greater London offer into the South East London submarket, enabling us to further meet increasing demand for sustainable industrial space driven by e-commerce, including for last mile and last hour logistics requirements.”

“This acquisition is fully in line with our investment strategy to target the submarkets of the Greater London area that have limited supply, low vacancy rates and a growing need for rapid logistics solutions. The VIP industrial estate in Charlton ticks all those boxes and we look forward to sourcing similar investment opportunities with our partners in the near future,” said Mark Krol, PATRIZIA Fund Management.

Richard Seton-Clements, Director, I&L at CBRE, which represented GLi in the transaction, said “We have a longstanding relationship with VIP Industrial Estate and this deal presents an excellent opportunity for KSP & PATRIZIA to truly enhance its offering whilst bringing much needed stock to the South East, a prime UK Industrial location.”

GLi acquired the Charlton site as part of its partnership with PATRIZIA AG and its TransEuropean property fund (TEP VII). The GLi platform aims to invest a further GBP 640 million in assets in strategic locations across Greater London.