RLI Investors expands logistics location in Breuna near Kassel by 10,200 sqm
RLI Investors (RLI), an independent asset and fund manager, and a specialist for logistics properties, is developing a logistics warehouse for third-party use measuring around 10,200 sqm on a plot measuring 21,500 sqm together with the project company RLI Development at the Wolfhagen/Breuna location near Kassel. VW Classic Parts will be a long-term user with an area of 5,100 sqm. RLI is in talks with potential tenants for areas in the second section of the hall. Construction on the two-bay logistics property began in summer 2020, and it is scheduled for completion in January 2021.
RLI secured the 21,500 sqm building plot in conjunction with the acquisition of a newly built logistics property measuring around 21,000 sqm and let to VW Classic Parts on a long-term lease in the “Hiddeser Feld” industrial park for the portfolio of the open-ended property AIF “RLI Logistics Fund – Germany I” in 2017, and acquired it for the fund at the start of 2020. From 2021, the company of the VW Group will add the new space to its portfolio for the same purpose.
RLI Development running location expansion
The project developer behind the new build is RLI Development GmbH, a wholly owned affiliate of RLI Investors GmbH. It will oversee the construction project from planning, completion and handover of both units to their users. RLI hired fabrikon, which specializes in building logistics properties, as its general contractor.
Katrin Poos, Managing Director of RLI Investors: “This extension is a textbook example of our core competence and the networking within our group of companies. The new build for third-party use is being erected at a logistics site with optimal transport connections, and its many utilization options mean that it can be individually tailored to the respective tenants and industries.”
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RLI relying on sustainable construction as part of its sustainability strategy
RLI is specifically focusing on sustainability in building the logistics hall. The new building will be built according to a sustainable model with a wooden truss on concrete prefabricated pillars. The use of laminated timber instead of steel for the roof truss will save 264 tonnes of CO², equivalent to an average of around 66 long-haul (return) business flights from Munich to New York per person. The roof will be prepared for the installation of a photovoltaics system at a later date to generate carbon-neutral electricity. Energy-saving LED lighting will be used indoors and out. Furthermore, at the request of the tenant VW Classic Parts, a charging infrastructure for electromobility is intended at the existing property. The existing property is already DGNB gold certified, and RLI is also striving for DGNB sustainability certification for the new building.
The total area will be divided into two units of 5,100 sqm each, which it will be possible to use either independently or combined. The property has clearance of 10.5 metres with a floor load capacity of five tonnes. The area still available has six levellers and 16 parking spaces and offers office and social space of 300 sqm. Given the excellent traffic connections afforded by the direct proximity to the autobahn A44 and the nearby A7, not just the centre of Kassel and the Kassel Freight Village, but also all key destinations within Europe are quickly accessible from the heart of Germany. RLI has engaged the property consulting company Realogis to market the remaining approximately 5,100 sqm of usable space. Talks with potential tenants are already ongoing.
Logistics region in heart of Germany
Companies will reap transport cost benefits thanks to the central location in Germany/Europe and a strong infrastructure (autobahns A44, A7 and a transshipment station). Goods can be distributed to the whole of Germany in the space of a day. Dynamic logistics locations in all directions – Hanover, the Ruhr area, Leipzig and Frankfurt – are less than a three-hour drive away. Large numbers of auto industry suppliers are located in the vicinity. The region is also one of the main hubs for e-commerce and parcel shipping.
Volkswagen Classic Parts has long-term ties to the location
Volkswagen Classic Parts set up its logistics centre at the Wolfhagen/Breuna site in 2017. Since then it has been sending spare parts for classic cars – old and new alike – all over the world. The spatial proximity to the Volkswagen Group’s distribution centre for original parts and service in Kassel was and is a major advantage: Short distances allow high efficiency and the responsible use of resources. By expanding its logistics centre by 5,100 sqm, which will also mean the creation of new jobs, Volkswagen Classic Parts is reiterating its commitment to the region.