Crossbay, the first pan-European urban logistics platform to target single-user distribution centres, has secured luxury e-commerce specialist Bazarchic as an occupier in its French portfolio.
Bazarchic, a subsidiary of upmarket French department store chain Galeries Lafayette, is to take 15,860 sq. m. of space on a nine-year lease at a 24,600 sq. m. warehouse in Herblay, which is located 20 kilometres north west of Paris city centre. The remaining space is leased to automotive manufacturer Lear Corporation.
Crossbay acquired the site in January 2021, which was then two-thirds vacant. Crossbay has since initiated works to renovate and modernise the property, led by general contractor Stylique.
From this summer, the platform will host all the logistics operations of Bazarchic, which specialises in online private sales of major premium and luxury brands, with the retailer planning to take additional space at other locations in Crossbay’s French portfolio.
Louis Radiguet, Managing Director of Crossbay France says: “This deal underlines Crossbay France’s ability to implement and execute a value-add oriented business plan. The partnership with Bazarchic comes just six months after the site’s acquisition and the firm’s plans to take additional space within our portfolio reflects the quality of both our assets and the service provided by our team. “
Elisabeth Cazorla, Managing Director of Bazarchic, said: “The reunification of our logistics in Herblay is a major step in the growth of Bazarchic. It also makes it possible to consolidate a service and delivery approach that meets our customers’ expectations as closely as possible.”
In March, Crossbay announced the off-market acquisition of a fully-let €60m portfolio of nine properties located in prime infill locations in core French cities, including Paris, Lyon, Nantes and Orleans.
The 50,000 sq. m. portfolio added to Crossbay’s growing footprint in France, which remains a key target market for acquisitions, with the platform targeting €500m in assets under management in France within the next two years.
Launched in May last year by leading private equity real estate investment manager MARK, Crossbay is the first European logistics platform to focus specifically on single-user distribution centres, targeting locations never more than a 90-minute journey to the centre of the nearest city.
The last mile logistics sector has proven one of the most resilient during the Covid-19 pandemic, as lockdown measures made consumers increasingly reliant on online shopping. This has driven occupier demand for last mile facilities, and in turn, investor interest.
Reflecting investor demand for high quality urban logistics assets in prime locations, in November last year Crossbay announced a successful capital raise, securing €550m in equity commitments from major investors such the Townsend Group, CBRE GI, Nuveen, Credit Suisse and QInvest LLC.