XP Log acquires premium asset for R$201 million in Piracicaba; see Details

With a Cap Rate of 8.22%, the transaction takes place in a region with limited high-end supply
The property has been 100% occupied since the end of 2023

Pedro Carraz, Partner at XP Inc and responsible for the management of Real Assets funds at XP Asset Management.

By: SiiLA News

10/04/2024

XP Log (XPLG11), a Real Estate Investment Fund (REIT) of XP Investimentos, kicked off October by announcing its new acquisition in Piracicaba for BRL 201 million. The purchase of the Condomínio Logístico Piracicaba was formalized through the signing of the Purchase and Sale Agreement (ECV) with Célula Empreendimentos e Administração de Bens.

According to market intelligence team SiiLA, the transaction has a stabilized Cap Rate of 8.22%. Subscribers to the Market Analytics platform can access full transaction and property details.

The announcement states that the payment for the A+ class asset was split into two parts: BRL 28 million paid upfront, and the remaining BRL 173 million settled through 1.5 million quotas from its seventh issuance.

The FII also emphasized in the document that the transaction aligns with its investment policy, which aims to acquire logistics properties in strategic locations with high technical standards.

XP Log’s portfolio includes stakes in various industrial developments, such as the A+ class Centro Logístico Cajamar, the A class Syslog Galeão - Duque de Caxias, and the A+ class XPLog Seropédica.

More About the Development

Source: SiiLA

In the chart above, it’s clear that the market value of the Condomínio Logístico Piracicaba stands at BRL 15.1/m², slightly below the average market value for A+ assets in the Piracicaba region, which was BRL 16.1/m² at the end of Q2, according to Market Analytics data. The analysis also shows that since Q1 2021, the occupancy rate has been on the rise.

The property’s location, near the Luiz de Queirós Highway, Anhanguera Highway, and Viracopos Airport, is one of its main attractions, and it currently boasts a zero-vacancy rate. In contrast, similar A+ class developments in the Piracicaba area have a vacancy rate of 8.8%.

Condomínio Logístico Piracicaba

CPFL, Energias Renováveis, a public sector company, is the largest tenant of the development. The property offers driver support areas, meeting rooms, CCTV and external monitoring security, a large cafeteria, private parking, sustainability certification, and a spacious yard for truck and trailer maneuvering.

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