Ares Management Real Estate has successfully completed the acquisition of a substantial 1.2 million square feet industrial and logistics portfolio from Royal London Asset Management Property. This noteworthy portfolio comprises a mix of multi-let industrial properties and single-let distribution assets strategically located in the South East and Midlands regions.

Wilson Lamont, Co-Head of European Real Estate at Ares, said: “Our acquisition of these assets underscores our positive outlook for the UK logistics market and ability to take advantage of evolving industry tailwinds over the long-term. Following a period of significant repricing, we are seeing signs of stabilisation in certain pockets of the European real estate markets – starting in the UK – and anticipate a notable increase in transaction activity in 2024.”

Mark Evans, Head of Property at Royal London Asset Management Property, said: “This strategic partnership with Ares aligns with our long-term vision to adapt to evolving market dynamics and elevate the overall performance of Royal London Asset Management Property.

”The current landscape offers an opportunity to allocate capital to growing our development pipeline across the sectors and larger assets, positioning us for sustained growth and success.

“With a strong tenant line-up and a favourable outlook in the industrial market, we recognise this as a timely and advantageous move. There are significant prospects to implement refurbishment strategies that will not only improve asset quality but also drive enhanced performance for Ares.”