The Baltic offices of Fort have advised the EfTEN Real Estate Fund III AS on its acquisition of logistics centers in Estonia, Latvia, and Lithuania, owned and occupied by group companies of DSV, one of the largest logistics groups in the world. The Markvarte/Lexchange team advised DSV in Latvia.

The transaction in Lithuania has already come into effect, the transaction in Estonia is pending approval from the Competition Authority, and the transaction in Latvia will come into effect as soon as City of Riga formally submits notice declining its right of pre-emption. The transaction price was not disclosed.

EfTEN Real Estate Fund III purchased with a sale-and-leaseback transaction DSV logistics centers in Tallinn, Riga, and Vilnius. In total, EfTEN acquired approximately 33,000 square meters of office and logistic space, which will be leased out at rent rates corresponding to the market rent level in each of the countries. In autumn 2017, expansion of the Riga facilities and territory is scheduled to begin, resulting in a further 4300 square meter increase of the main building area.

According to EfTEN Real Estate Fund III AS fund manager Viljar Arakas, the transaction fits the fund’s profile. “This is one of the leading logistic companies in the world, which, according to contract, will be leasing the premises from us at least for the next ten years. For the fund, this is a great opportunity to enter into logistic real estate, involving all three Baltic countries.”

Fort has previously advised the EfTEN Real Estate Fund III AS on its acquisitions in Lithuania of the Saules Miestas Shopping Center (as reported by CEE Legal Matters on August 21, 2015) and the Ulonu Business Centre (as reported by CEE Legal Matters on January 11, 2016). Fort’s team in this most recent matter was led in Tallinn by Partner Minni–Triin Park, in Latvia by Partner Janis Likops, and in Lithuania by Partner Ruta Radzeviciute–Meizeraite.

The Markvarte/Lexchange team advising DSV in Latvia was led by Managing Partner Zane Markvarte.

Editor's Note: After this article was published, the Derling firm in Estonia announced that it had advised DSV on the sale of the logistics center to the EfTEN Real Estate Fund III AS in that country. The firm's team was led by Partner Toomas Taube.

Subsequently, Valiunas Ellex confirmed that it had advised DSV on the Lithuanian parts of the sale.