Affinius Capital and PK2 today announced that Affinius Capital has acquired the remaining interest in the Mountpark development company. In a separate transaction, investment vehicles managed by Affinius Capital acquired Mountpark Logistics EU Sarl, the holding company owning the joint venture real estate assets. This acquisition follows a decade-long joint venture with Mountpark, a Pan-European development company and logistics investment portfolio, founded by John Cutts. This strategic transition was envisioned by the parties several years ago and builds upon the established foundation of progress and performance. Effective November 25, Affinius Capital became the sole owner of Mountpark and plans to expand the strategy and vision and continue to be a premier developer and owner of logistics assets across the defined target markets in Europe. The transaction further solidifies Affinius Capital’s position in the European logistics market and broadens its ability to continue to serve its customers and investors in both North America and Europe. The further anticipated vertical integration positions the Mountpark business for future growth.
Through Mountpark, the joint venture has delivered 1.64M SQM of logistics development and has 18 sites secured for future development of more than 3.3M SQM across Europe to create high-quality, efficient spaces tailored to meet modern customer demands. The combination of Affinius and PK2 has enabled Mountpark to establish a market-leading position through the platform’s depth of expertise in land sourcing, planning, development, acquisitions, capital markets, and structuring.
With this strategic ownership consolidation, Justin Hildebrandt, head of European business for Affinius Capital, will return to lead the Mountpark business and continue parallel roles at Affinius Capital and Mountpark. Mr. Hildebrandt said, “The Mountpark business and our joint venture have been a success story built upon the experience and innovation of our larger teams and long-standing relationships in Europe and globally. I’m honored and incredibly excited to be part of the next phase of growth where we look to expand upon our collective industry expertise and market relationships to develop solutions for our occupier customers and capitalize on emerging opportunities for our investor clients.”
As part of this transaction, John Cutts will be stepping down as Chairman and leaving Mountpark to pursue private interests. In addition, current Mountpark CEO, David Buck, will return to the US to resume his prior role as Head of Global Logistics for Affinius Capital. Mr. Cutts added, “The strategic partnership that Len O’Donnell, David Buck and I began in 2014 has given rise to a decade of success for our clients, members of our respective teams, and both firms’ stakeholders. With the ownership transition complete, I have the utmost confidence that Mountpark and its customers, people and communities will enjoy continued success under Justin’s stewardship.”
“Ten years ago, we realized that Mountpark was an experienced and talented logistics developer in Europe, and we recognized that through our strategic partnership the company could reach an even greater potential,” said Affinius Capital Chairman & CEO Len O’Donnell. “Now, this transaction creates the next chapter and demonstrates the tremendous confidence we have in Mountpark’s principles and strategies. We share a focus on the value of relationships, and together we can facilitate continued success for our customers and investors.”
Interpath Advisory and Herbert Smith Freehills advised PK2 in the transaction.
About Mountpark
Mountpark, founded in 2011, is a Pan-European logistics developer concentrating on European big and mid-box logistics assets delivering the right product in the right locations to suit customers’ needs. With locations in the UK and across Europe, Mountpark offers the independence, flexibility and expertise to deliver buildings that are tailored to meet customers’ requirements.
About Affinius Capital
Affinius Capital® (previously known as USAA Real Estate and Square Mile Capital Management) is an integrated institutional real estate investment firm focused on value-creation and income generation. With a 40+ year firm history, including 20+ years logistics experience and $64 billion in gross assets under management, Affinius has a diversified portfolio across North America and Europe providing both equity and credit to its trusted partners and on behalf of its institutional clients globally. Affinius Capital investments span the capital stack through development, acquisitions, and lending, with 27 million m² (290 million square feet) across 740 projects in the logistics program since 2002. For more information, visit https://affiniuscapital.com.
