H.I.G. Capital Joins Rush for European Last-Mile Delivery Assets

The race for Europe’s most valuable logistics real estate is heating up as H.I.G. Capital snaps up four strategic delivery facilities in France, marking the latest move in private equity’s expanding bet on the digital retail revolution.

The Miami-based investment firm, wielding $66 billion in capital, has secured prime facilities in Toulouse, Bordeaux, Caen, and Rennes. The properties boast an impressive tenant roster including Amazon, XPO, and Kuehne+Nagel – a lineup that underscores the growing premium on strategic delivery locations.

Behind the deal lies a stark reality reshaping retail: consumers are abandoning retailers who can’t deliver fast enough. Market research reveals that 25% of shoppers switch brands when delivery times stretch beyond three and a half days, turning last-mile delivery from a luxury into a make-or-break capability for retailers.

“This portfolio hits the sweet spot in markets with clear supply-demand imbalances,” says Jérôme Fouillé, managing director at H.I.G. Realty Europe. The message is clear: control of prime delivery infrastructure increasingly dictates retail success.

The French market presents a unique puzzle for logistics operators. Dense urban centers demand rapid delivery capabilities, while vast rural regions require extensive distribution networks. H.I.G.’s new facilities straddle both worlds, offering tenants the flexibility to serve diverse markets from strategic hubs.

For H.I.G., a veteran player that has invested in over 400 companies since 1993, the acquisition bolsters its European presence at a crucial moment. As e-commerce adoption accelerates, the firm’s latest move positions it to capture growing demand for sophisticated delivery networks.

The deal highlights a fundamental shift in real estate investing: yesterday’s mundane warehouses are emerging as tomorrow’s critical infrastructure. With retailers fighting for faster delivery times, these strategic logistics hubs have become the new battleground in the future of retail.

The race for Europe’s most valuable logistics real estate is heating up as H.I.G. Capital snaps up four strategic delivery facilities in France, marking the latest move in private equity’s expanding bet on the digital retail revolution. The Miami-based investment firm, wielding $66 billion in capital, has secured prime facilities in Toulouse, Bordeaux, Caen, and…