M7 Real Estate (M7), the pan-European investor and asset manager, has announced the acquisitions of two modern urban logistics assets, both on Slavonska Avenue, Zagreb, Croatia, on behalf of M7 CEREF II (a logistics property fund). 

Slavonska Avenue is one of Zagreb’s main arterial roads and is therefore a prime last mile location, according to the firm. The first asset, which comprises a total of 14,000sqm GLA, is located just to the north of Slavonska Avenue, 5km east of Zagreb city centre. It is fully let to four tenants with a weighted average lease term of 5.8 years.

The second asset is located to the south of Slavonska Avenue and comprises a total of 8,000sqm GLA.  It is fully occupied by three tenants with a weighted average lease term of 2.4 years. 

M7 stated: ‘Both acquisitions are in line with the Fund’s strategy of targeting value-add and core plus logistics, industrial and office investments in the key Central European markets of Poland, Hungary and Croatia, where the favourable market dynamics and diverse tenant profile provide solid rental income and upside potential. These are the first acquisitions on behalf of the Fund in Croatia.  M7 CEREF II has so far acquired seven assets totalling 85,000sqm across Croatia, Hungary and Poland.’