Cording Real Estate Group has bought a €225m office in Berlin for a separate account client, in a deal part financed by PGIM Real Estate.
The European real estate manager said it advised the client to buy the Carrée Seestrasse office building from Deutsche Real Estate.
PGIM Real Estate, on behalf of its investors, will provide mezzanine financing to part fund the acquisition, with Hamburg Commercial Bank providing senior financing.
Cording said it will manage the property which is currently around 82% let.
The property was built in 1880 and formerly used as an industrial building for light bulb production by manufacturer Osram. It comprises around 64,700sqm of office, retail and leisure space.
Stephan Schaal, head of investment Germany at Cording, said: “This acquisition represents an opportunity to enhance the profile of the property through selected asset management initiatives.
“We see clear potential for an uplift in capital values in this up-and-coming location.”
The change of ownership of the property will take place on 31 December 2019 after full payment of the purchase price.
