Proprium Capital Partners and Garbe Insite establish Urban Industrial Joint Venture and acquire first site in Munich

Oct 03, 2026 Warehousing Ireland Logistics, News, Warehousing Comments Off on Proprium Capital Partners and Garbe Insite establish Urban Industrial Joint Venture and acquire first site in Munich

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L&G backed Proprium Capital Partners (“Proprium”) and Garbe Insite have established a programmatic Urban Industrial joint venture with a target volume of EUR 500 million. The partnership aims to build a portfolio of redevelopment projects and selective new-build schemes in urban locations in Germany and selected European markets. In its first acquisition closed on 29 September 2026, the joint venture has acquired a 16,700 square metre site in a central location in Munich’s Bogenhausen district. Ahead of the start of construction, approximately 70% of the space has already been pre-let; a long-term lease with an established Munich technology company has been signed. In total, the joint venture is investing circa EUR 75 million in this project.

While Proprium contributes the majority of the equity as well as its investment and transaction expertise to the joint venture, its partner Garbe Insite is delivering a comprehensive set of services, including development and asset management of the portfolio to be established by the JV. 2

“Urban commercial space in central locations is structurally scarce, while demand from the wide universe of potential occupiers, ranging from skilled trades and light production to R&D and last-mile logistics, continues to grow. With this joint venture, we are building a dedicated platform to capitalise on this trend,” says Philipp Westermann, Managing Partner of Proprium. “With approximately 70% of the space pre-let before construction has even started, the Munich project is an ideal start.”

“We are bringing commercial activity back into the cities,” says Martin Czaja, Managing Director of Garbe Insite. The company bundles Garbe’s investment activities in the light industrial and science & technology sectors. “After years of being pushed out of central locations, manufacturing businesses are regaining access to urban space as a result of the office market downturn. Our goal is to develop future-oriented real estate solutions for tenants from the commercial, tech and science sectors, while giving institutional investors access to the light industrial real estate market. In Proprium, we have an experienced partner to implement this strategy in our target markets.”

The joint venture partners acquired the site from tk accelis GmbH, part of the industrial and technology group thyssenkrupp. The site is currently occupied by old office and warehouse buildings, which are to be demolished, professionally recycled and replaced by a modern commercial scheme with a total floor area of around 13,500 square metres, providing space for production, storage, research and development laboratories, offices and staff facilities. The scheme is targeting DGNB Gold certification. Special features of the scheme include a high fit-out standard and security arrangements. “We are planning the complex as a hybrid building that is suitable for a range of uses and whose space can be flexibly divided into smaller units,” explains Martin Czaja. “This is just as attractive for local Munich businesses as it is for tenants from logistics, e-commerce, light industrial, and science and tech.”

The centrally located site is very well served by public transport. The Berg am Laim S-Bahn station is only within a five minutes’ walking distance, and the Riedenburger Straße tram stop is six minutes away from the site. As with all Garbe development projects, the new scheme will be constructed in line with current ESG criteria. Air-source heat pumps are planned for heating, eliminating the need for fossil fuels. Photovoltaic systems are also planned for the roofs. Following demolition and site preparation, construction is scheduled to begin in the fourth quarter of 2027, with completion planned for the end of 2028.

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