Nrep and GARBE start collaboration in Germany and begin their joint venture by realizing 27,000 sqm entirely from wood

Wooden logistics property in Straubing is one of the joint venture projects Nrep has embarked on with GARBE.

Nrep forms joint venture with GARBE Industrial Real Estate to build up a strongly ESG-focused logistics portfolio in Germany. As a first project, they are developing 27,000 sqm in Straubing entirely from wood.

The landmark project, spearheaded by Garbe Industrial Real Estate GmbH in collaboration with Logicenters, is set to redefine building practices with an environmental focus. The new logistics facility will cover 27,000 m2, including 24,500 m2 warehouse space, 1,500 m2 storage, and 1,100 m2 designated for office and social areas. The design features 24 dock levelers, nine covered sectional doors, and ample parking with spaces for 70 cars, 12 trucks, and 30 bicycles.

This project is extra notable for its choice of material. The entire structure, including the supporting framework and façade, will be constructed from timber. Approximately 4,400 cubic meters of wood will be sourced from forests in Bavaria and Austria. According to initial calculations, this choice of materials is expected to reduce CO2 emissions by up to 66% compared to traditional concrete construction methods.

Wolfgang Ködel, Head of Nrep Germany says: “Within Germany, logistics plays a pivotal role in our strategic approach, where we see continued demand for contemporary, sustainable space as structural tailwinds in the sector remain intact. Hence, we have established JV-partnerships, focusing on high-quality locations.

We are excited to start the joint venture with GARBE with this project that exemplifies our commitment to create modern logistics assets, with a focus on sustainability and a customer-centric approach”.

The facility will feature a 16,500 m2 photovoltaic system to generate renewable energy, along with a greened roof area of 2,000 m2. Inside the property, LED lighting and an air-to-air heat pump will eliminate the need for fossil fuels for heating. The project also includes a thoughtful planting concept which integrates natural transitions between biotopes and providing friendly outdoor spaces with benches.

The new logistics real estate will be strategically located with access to major road networks and motorways, as well as a near the new Straubing-Hafen train station. This prime location is already attracting interest from potential tenants, including automotive suppliers looking to serve the nearby BMW plant.

The joint venture is part of Nrep’s flagship value-add fund NSF V, which had a 3.65bn final close in May 2023. NSF V owns the majority in the JV structure. Logicenters, Nrep’s development and asset management platform is responsible for developing the asset. Logicenters is also responsible for tenant attraction and collaboration.