7R, a developer of warehouse and industrial properties, has completed the key formalities related to the acquisition of a property in Berlin from KARL Gruppe and is launching its first development project in Germany.
The investment includes an operating warehouse complex located in Berlin’s Lichtenberg district, within the BEGEWO industrial area. The 7R City Park Berlin East project will be developed as a brownfield investment, combining the modernisation of the existing facility with the potential construction of two new buildings offering a total of 23,000 square metres of space.
The entire complex will ultimately provide approximately 43,000 square metres of warehouse and logistics space. The total value of the investment is estimated at around €70 million.
The project is being implemented in cooperation with the Foreign Expansion Fund 2 FIZAN, managed by PFR TFI, which supports the international expansion of Polish companies.
Existing complex already more than 90% occupied
The acquired property comprises a site of approximately 93,000 square metres and an existing warehouse building covering around 20,000 square metres.
The facility is currently more than 90% leased, providing the investment with stable rental income from the outset. In the next phase, 7R plans to expand the complex with two additional buildings offering approximately 23,000 square metres of modern warehouse and logistics space.
Construction of the new facilities is scheduled for 2027–2028.
“Launching our first project in Germany is an important milestone in 7R’s development and confirms the consistent implementation of our expansion strategy in Europe’s most liquid and significant market. Berlin is a natural location for this step. It is one of the continent’s most important metropolitan areas, a strong economic centre and a market with considerable demand for well-located urban logistics space,” said Magdalena Uler-Kłeczek, Management Board Member and Chief Investment Officer at 7R.
“Our competitive advantage lies in combining development experience, investment capabilities and practical expertise in creating modern, operationally efficient facilities for tenants from a wide range of sectors,” she added.
Focus on Germany’s largest metropolitan markets
7R City Park Berlin East forms part of the company’s strategy to build a portfolio of modern logistics assets in Germany’s largest metropolitan areas.
The company is focusing on locations within and around the country’s so-called BIG 7 cities: Berlin, Hamburg, Munich, Cologne, Frankfurt, Stuttgart and Düsseldorf.
In these markets, 7R intends to develop urban logistics formats tailored to the requirements of companies operating in e-commerce, retail, logistics, light manufacturing and services.
The Berlin project is located in Lichtenberg, in the eastern part of the German capital, on the site of a former concrete production plant between Bennostraße and Gehrenseestraße.
The area has a well-established industrial and commercial character and has been undergoing a comprehensive transformation in recent years. Its location within Berlin provides access to a large consumer market, road infrastructure and an extensive workforce while supporting efficient urban and last-mile logistics operations.
“Germany is one of the largest and most demanding warehouse and logistics markets in Europe. Entering this market therefore requires a highly selective approach to location, product and investment structure,” said Martin Ohly, Managing Director Germany at 7R.
“Our first project in Berlin meets these requirements. It is situated in a strong urban location, generates current rental income and offers genuine potential for further development. This investment model responds well to the present needs of both tenants and investors by combining the security of an existing asset with the opportunity to create additional value through modernisation and expansion,” he added.
PFR TFI supports 7R’s international expansion
The investment is being financed through the participation of the Foreign Expansion Fund 2 FIZAN, managed by PFR TFI, together with 7R’s own capital and debt financing.
The total investment value, including the property acquisition, modernisation of the existing building, construction of new space and development of logistics infrastructure, will amount to approximately €70 million.
Under the agreed investment structure, the Foreign Expansion Fund 2 FIZAN will acquire a minority stake in 7R’s foreign subsidiary. The funds raised will be used to implement the Berlin project.
“The cooperation with PFR TFI strengthens the project’s financial foundation and confirms the importance of institutional capital in supporting the expansion of Polish companies into Europe’s most competitive markets,” said Piotr Pikiewicz, Head of Debt and Treasury at 7R.
“Our objective is to build a lasting presence for 7R in Germany. We want to develop projects that respond to the real needs of tenants, are well integrated into the urban environment and create long-term value for our capital partners,” he added.
Piotr Dmuchowski, President of the Management Board of PFR TFI, said the project demonstrated how PFR could act as a credible and strategic partner for Polish businesses pursuing international growth.
“We support companies that have a clear vision and are determined to expand and scale their operations beyond Poland. This project is an excellent example of successful cooperation between Polish capital and experienced investors,” Dmuchowski said.
“Through the Foreign Expansion Fund’s partnership model, we co-invest with entrepreneurs and provide practical support to Polish companies entering new and demanding international markets. In this way, we contribute to building their sustainable competitiveness on a global scale,” he added.
Brownfield development within the BEGEWO transformation
7R City Park Berlin East is part of a broader redevelopment of the BEGEWO area led by KARL Gruppe.
A new mixed-use industrial and commercial district is being created on the approximately 200,000-square-metre site of the former concrete plant. The redevelopment will provide space for logistics operations, commercial activities, municipal services and small and medium-sized companies.
7R’s acquisition of part of the site supports the revitalisation and reuse of existing industrial land in line with the “brownfield before greenfield” principle.
An important element of the project is the use of existing infrastructure, reducing pressure to develop previously undeveloped land.
7R will implement the project in stages. Initially, the company will focus on managing the existing asset, maintaining business continuity for current tenants and preparing the technical solutions and documentation required for the planned expansion.
Once completed, the complex will provide modern and flexible warehouse space designed for companies seeking an efficient location within one of Europe’s largest urban markets.
German logistics market records strong growth
Germany remains one of the most important warehouse and logistics markets in Europe.
In 2025, warehouse and logistics leasing volume across the country reached nearly 6.1 million square metres, representing an increase of 14% compared with the previous year.
The largest metropolitan areas continue to play a particularly important role. Limited land availability, the expansion of e-commerce and the need to shorten supply chains are increasing demand for well-connected urban logistics locations.
The Berlin investment also reflects a broader transformation of 7R’s business model. In addition to developing new warehouse and industrial projects, the company is expanding its capabilities in acquiring existing assets, modernising and commercialising them, and managing their long-term value.
