On September 15, 2021, Vilnius City Municipality issued a permit for the construction of the DHL Urgent Parcel Terminal in the territory of Vilnius Airport. The terminal construction project of the build-to-suit type is managed by Eika Real Estate Fund UAB (EREF) of the investment company Eika Asset Management UAB (EAM). EREF has attracted 18 million euro of investments within the second fund raise. The finished building will remain the property of EREF. The project investments are estimated to reach 6.3 million euro. The terminal will be finished one year later, in the third quarter of 2022.
Terminalo Projektas UAB, a company controlled by EREF, won the land lease auction in 2020. Lietuvos oro uostai VĮ rented out a land lot part of 1.88 ha in size in the territory of Vilnius Airport. The won land lease auction allowed the completion of the urgent parcel terminal development and lease transaction with DHL Lietuva UAB. Eikos Statyba UAB will be the designer and general contractor of the terminal.
The project will be funded from the investments of 18 million euro attracted this summer during the EREF second fund raise. In addition to more than 20 new investors, many investors from the first raise that took place in 2019 also took part in the second raise. Out of 18 million euros, 4 million euros are taken from the capital of EIKA Group investing together with external investors. The collected funds will be used for the construction of the DHL Terminal, Tamro Development Project in Kaunas FEZ and new purchases.
“For several years now, we have been working hard to shape the EREF portfolio by purchasing active objects and developing new ones. We feel the trust placed in the EAM Team by the current and future investors. Their capital allows us to create added value by developing a commercial real estate portfolio generating a stable income source. The start of the DHL terminal construction is a good driving force for the new stage of EREF operations,” said Viktorija Orkinė, General Manager of EAM.
The construction of the urgent parcel terminal will start this autumn. This terminal will comply with the highest standards of the international freight company DHL and has been designed on the basis of its good practice. The building will be near the territory of Vilnius Airport which will allow for a fast transfer of parcels transported by air. To ensure functionality, a number of pick-up lots of 12,000 square meters in area will be built. The building will measure 4,800 square meters in area and will house administrative and parcel terminal facilities, including loading ramps. The developer aims to build an eco-friendly terminal and is thus employing innovative solutions, such as heating and cooling unit powered by a geothermal power plant.
“We are glad to see the DHL Terminal project transitioning from the development phase to the construction stage. The company’s investments in Vilnius Airport will ensure the successful development of DHL urgent parcel business in Lithuania. Automated parcel sorting system, process efficiency solutions and focus on environmental protection will ensure the highest possible service quality for DHL clients in Lithuania and will also significantly contribute to the DPDHL business sustainability obligations by reducing CO2 emissions in parcel transportation,” said Mindaugas Pivoriūnas, CEO of DHL Lietuva.
“We are happy to be able to offer the investor and DHL a good land lot for their business operations right beside our main airport. Doubtlessly, this project will not only expand the cargo infrastructure but will also increase the competitiveness of Vilnius Airport and our entire country in the region,” said Marius Gelžinis, General Manager of the Lithuanian Airports.
In addition to the DHL Terminal, the EREF investment portfolio also contains Tamro Logistics Center development project for the BENU pharmacies, agencies of Audi and Volkswagen rented by Moller Auto Group and Highway Business Center. EREF is the second real estate fund managed by EAM that invests into both active commercial objects and those still under development. EREF invests into the usual commercial real estate, such as office buildings, shopping centers and logistics in the Baltic States. The fund is targeted at informed investors. With the help of external investors, EIKA Group capital is also invested.