BF Group and FOX Group have announced the formation of a joint venture focused on financing logistics real estate projects across Germany. The new company, BF.infrastructure finance, will combine FOX Group’s development pipeline and property identification expertise with BF Group’s experience in lending and financial structuring. Senior management will include representatives from both partners. The joint venture will create debt structures designed for professional investors, providing access to financing opportunities in logistics property development while supporting developers with tailored funding solutions. The initiative addresses the growing demand for alternative financing in the sector, as traditional banks remain cautious despite high capital needs and strong underlying demand. According to the partners, the logistics segment offers favourable risk-adjusted returns, driven by sustained demand for modern storage and distribution space and relatively short investment horizons. Francesco Fedele, CEO of BF.direkt AG, said the collaboration aims to fill a clear financing gap in the market. “We see a significant need for alternative lending solutions in logistics property development. Through this joint venture, we intend to make efficient and attractive financing options more widely available.” Jörn Reinecke, Managing Partner of FOX Group, highlighted the investment appeal of the sector: “Financing logistics developments offers a compelling balance. The returns are higher than those from investments in standing properties, while the risk remains lower than with direct equity participation.” The new venture is part of FOX Group’s broader strategy to expand its logistics real estate operations. It complements the activities of its FOX Industrial Real Estate division, which focuses on the development of big-box logistics centres, light industrial buildings, and business parks. Images: BF.direkt AG (Francesco Fedele), FOX Group (Jörn Reinecke)