Two private equity firms, KKR and Palm Capital, have agreed to forward fund the development of two Grade A logistics warehouses at Greenogue Business Park, Dublin by Jordanstown Properties.
The development is expected to be worth around €85m once completed.
KKR is an American global investment firm, while Palm Capital was founded in the UK.
The circa 42,000 sq m development, which is situated on one of Ireland’s biggest logistics campuses at around 350 acres, is being undertaken speculatively and is due for completion next year.
Reda Khatim, managing partner at Palm Capital, said: “We have been monitoring the Irish market for some time and this transaction presents a fantastic opportunity to expand our portfolio into one of Europe’s fastest growing economies.
Compared to the UK and Northern Europe, the logistics market in Ireland is less mature and structurally undersupplied, with pent-up demand for high quality space being fuelled, in part, by the rise of e-commerce as well as the general supply chain rationalisation.”
KKR’s investment is being made through its Real Estate Partners Europe fund.
Palm Capital and KKR were advised by Savills whilst JLL acted for Jordanstown Properties.