AXA Investment Managers-Real Assets has bought a Munich office asset, the first for its Hadrian fund.
The manager bought Taunushaus, a 11,200sqm building in the German city’s Milbershofen business district.
The asset is fully let to German businesses on long leases.
Matthias Leube, regional head of asset management and transactions at AXA IM-Real Assets in Germany, said the deal underpinned the manager’s conviction in the strength of the Munich real estate market.
“To further capitalise on the growth and the resilience of the Munich office market, we will look to deploy a number of asset management initiatives to create the utmost value for our investor clients,” he said.
The Hadrian fund – an Italian, closed-end, pan-European fund – is aimed at the office and retail asset sectors.
The fund’s target equity size is €200m, of which €146m has already been raised.
Fundraising is due to close in May next year.
With selective leverage, the fund size is targeted to have a €400m capacity.