In 2025, global asset manager BlackRock and European logistics real estate specialist GARBE Industrial Real Estate announced a joint investment of €23 million into a state-of-the-art logistics facility in Germany. This move highlights the growing strategic importance of logistics infrastructure in Europe’s commercial property landscape.
Project Overview
The new facility will be located near Hamburg, one of Germany’s major transportation and logistics hubs. With a total surface area of 20,000 square meters, the site will serve as a high-capacity storage and distribution center designed for maximum operational efficiency.
Key Details:
- Investment volume: €23 million
- Total area: 20,000 m²
- Location: Greater Hamburg region
- Purpose: Warehousing and distribution
- Completion target: End of 2025
Investor Profiles and Strategy
BlackRock, the world’s largest asset manager with over $10 trillion in assets under management, continues to expand its presence in logistics—a resilient, demand-driven real estate segment.
GARBE Industrial Real Estate, a trusted name in logistics development across Europe, brings extensive expertise in site planning, construction, and tenant management. Their collaboration ensures strong execution and long-term asset value.
Trends in the German Logistics Market
Germany remains Europe’s logistics powerhouse, driven by:
- Booming e-commerce
- Shorter delivery timelines
- Demand for last-mile logistics and modern warehousing
Current Market Indicators:
- Average rental rates: €6–€7 per m²/month
- Vacancy rates: Below 3% in prime regions like Hamburg and Munich
- Asset value growth: 5–8% annually in high-demand locations
The market is characterized by limited availability and strong competition for top-tier logistics assets.
Economic and Regional Impact
This €23 million investment will bring multiple benefits to the local economy:
- Job creation: Employment during construction and operational phases
- Infrastructure development: Enhanced transport connectivity and logistics networks
- Investment magnet: Increased regional attractiveness for further development
Sustainability Focus
The logistics center will integrate energy-efficient design and sustainable building practices, in line with certifications such as DGNB or BREEAM. These elements add long-term value, reduce operational costs, and meet growing investor expectations for ESG-compliant real estate.
Outlook and Future Potential
The outlook for logistics real estate in Germany remains strong. Strategic locations near urban and port centers are in high demand, and institutional investors are prioritizing assets that support supply chain resilience.
The BlackRock-GARBE partnership signals confidence in the sector’s growth potential and reinforces the shift toward smarter, greener logistics infrastructure.
Conclusion
The €23 million investment in a new logistics hub by BlackRock and GARBE illustrates the rising importance of industrial property in the European investment landscape. The project strengthens both companies’ logistics portfolios while contributing to regional development and employment.
In an era where logistics drives economic performance, this venture underscores the vital role of smart infrastructure in shaping the future of European commerce.
