Successful Transaction near Munich – TA Europe as Technical and ESG Advisor

TA Europe provided comprehensive technical and ESG advisory services to Sienna IM in connection with the acquisition of a technically complex light industrial asset near Munich.

The multi-tenant property comprises a gross floor area of more than 10,500 sqm, of which approximately 8,868 sqm are predominantly used as production space. The asset combines light industrial, office and mixed-use functions and is leased to tenants from the high-tech and pharmaceutical sectors. Its location within an established life sciences cluster underlines the asset’s long-term quality and strategic positioning.

In addition to the core technical advisory mandate, TA Europe delivered a full-scope technical and ESG assessment covering the entire transaction lifecycle. Technical services included a plausibility check of the planned basement garage refurbishment based on an existing technical report, a comprehensive Technical Due Diligence following completion of the fit-out works for the multi-tenant scenario, and a detailed life-cycle and maintenance assessment to evaluate long-term CAPEX requirements and operational performance. TA Europe further provided ongoing technical support through to the release of retained amounts, ensuring continuity, risk mitigation, and transaction security throughout the closing process.

A key technical challenge identified during the assessment related to an on-site groundwater (well) pump system, which was out of operation at the time of inspection and had temporarily lost its operating permit from the local water authority. The reinstatement of the system formed part of TA Europe’s advisory scope. This included the review and evaluation of technical concepts, coordination approaches, and alignments with specialist engineering consultants and authorities. The repair works have since been completed, and the groundwater pump has been successfully recommissioned, restoring its operational functionality.

Alongside the technical advisory services, TA Europe delivered extensive ESG services aimed at enhancing long-term sustainability and mitigating stranded asset risk. This included a Stranded Asset Check, the establishment of an ESG baseline, and the development of a comprehensive package of organizational and technical improvement measures with detailed cost assessments. Key measures assessed and recommended comprised the hydraulic balancing of the heating system, the implementation of photovoltaic systems, the introduction of a building management system, and the evaluation of a potential connection to the district heating network. While a heat pump system is already installed, it was not operational at the time of assessment; TA Europe therefore recommended its activation and optimization, as well as the consideration of district heating as a future decarbonization option. The ESG scope was complemented by a CRREM analysis and the definition of targeted improvement measures to support alignment with long-term decarbonization pathways.

Of particular note, TA Europe was engaged prior to the exclusivity phase to provide an in-depth technical and ESG assessment—an approach that significantly enhanced transaction certainty and supported informed, risk-aware investment decision-making.