M7 Real Estate, the pan-European investor and asset manager, has announced the completion of the transformation of an industrial property in Quinta da Marquesa, Palmela, into a modern, fully occupied multi-tenancy facility.
The 38,000 sqm property now comprises three separate units offering high-quality, adaptable space that meets the evolving demands of the industrial and logistics sector. M7 carried out significant renovations to transform the property, allocating over €1.4 million of capex. To accommodate the logistics function while maintaining the first half dedicated to industrial use, extensive interior separation works were carried out, including installing elevated loading docks and sprinter gates, ensuring efficient and flexible logistics operations for tenants. Immediately after completing the works, the asset’s occupancy rate increased from 50% to 100%, demonstrating the region's strong demand for well-located and versatile industrial and logistics.
M7’s asset in Palmela benefits from a strategic position that enhances logistics and transportation for industrial operations. Close to major highways like the A2, A12, and A33, the asset has quick access to Lisbon (about 40 km and 30 minutes). The proximity to the A33 directly links to the Port of Setúbal (about 15 km and 20 minutes), facilitating efficient exports/imports and reducing transportation costs and times to the port. This location improves logistical efficiency, attracts foreign investment, and strengthens investments from international companies like AutoEuropa.
Afonso Moreirão, Asset Manager at M7 Real Estate in Portugal, commented: "This strategic value-add redevelopment transformed the property from a single-let industrial unit to a multi-let industrial and logistics facility, creating an attractive space for a different range of occupiers. By diversifying our tenant base, we effectively mitigated risk and quickly achieved full occupancy after the construction works and renovations were concluded. As a result, we not only met but exceeded our original business plan, enhancing the asset’s income profile and improving the portfolio’s overall performance, which highlights the success of our strategic repositioning.
“The asset management success at Quinta da Marquesa exemplifies M7's expertise in managing and enhancing industrial and logistics assets, driving value for both tenants and investors alike.”
