W. P. Carey paid $33m for four automotive retail and service sites in the Netherlands. The 187,000 sq ft portfolio is leased to Van Mossel Automotive Group, one of the largest Dutch automotive retail and leasing service providers. The portfolio has a lease term of 17 years and includes annual inflation-based rent escalations tied to Dutch CPI. The buildings are located in prime locations along key thoroughfares near major urban centers in the Randstad region of the Netherlands.
“Our 16-year history of investing in the Netherlands and knowledge of the auto dealership industry positioned us well to secure the Van Mossel portfolio in an off-market transaction. We believe the acquisition complements the strength of our existing automotive portfolio and will generate strong risk-adjusted returns from a leading automotive company with steady cash flows from multiple revenue sources, including new and used car sales, leasing services, after sales and repairs,” said Christopher Mertlitz, director of W. P. Carey.
