M7 Real Estate has expanded its industrial footprint in southern Europe after completing the purchase of 13 logistics properties in Spain for 181 million euros. The assets, which span a combined 138,411 square metres, were bought through two distinct transactions from an Aristeas and Partners Group joint venture and a separate institutional investor.

M7 secured the properties on behalf of the European Supply Chain Investment Partnership (ESCIP), an investment vehicle established by AustralianSuper and Oxford Properties Group. This latest deployment more than doubles ESCIP’s existing Spanish portfolio to more than 225,000 square metres. Globally, the acquisitions lift the total ESCIP portfolio managed by M7 to roughly 1.7 billion euros in gross asset value, spanning 132 assets across Europe.

The first deal involved purchasing 12 prime logistics buildings from the partnership between global private markets firm Partners Group and the Aristeas Group. This portfolio includes 11 sites situated along key distribution routes in Madrid and one asset in Barcelona. It is 88 per cent let to 14 different occupiers, featuring a combination of mid-box and urban distribution facilities built within the last ten years that hold either BREEAM Good or Very Good environmental certificates.

The second transaction involved an institutional investor selling a multi-let urban distribution park located in Southern Madrid. Built in 2022, the 30,296 square metre site consists of three modern structures that are fully occupied by three corporate tenants. The asset sits adjacent to the A-4 motorway corridor, which links nationwide supply lines directly to the capital city.

Strong structural trends continue to support industrial property demand in Spain, where population growth and urbanisation are driving a clear requirement for well-connected distribution hubs.

John Pow, Managing Director at M7 Real Estate, commented: “Expanding our presence in the Spanish logistics market with the deployment of €181 million across two acquisitions, marks a significant milestone in our growth of ESCIP. Securing this high-quality portfolio of assets also reflects our conviction in the industrial and logistics sector and the value of strategic locations such as Spain, where we’re seeing strong urban domestic growth continue to drive rental and investment demand.”