GERMANY – Cordea Savills has launched its first Spezialfonds, the Real Invest 1, and has already collected €65m from German insurers for its first closing.
The company confirmed that German regulator BaFin gave it the go-ahead earlier this year to create a KAG, which is required before a company can issue Spezialfonds.
The fund will target "younger" office or multi-purpose buildings, worth between €30m and €70m, in Germany's seven largest cities.
The first acquisition will be the Dortmunder U-Das Viertel, scheduled for completion in 2015.
It is rented by the city of Dortmund for vocational training for around 6,000 students for 25 years.
Meanwhile, Warburg-Henderson has unveiled its new real estate Spezialfonds – Germany High Income.
The target volume, including debt capital, is set at €500m.
The company said one portfolio could already be secured for the fund, but declined to provide further details.
The fund will be launched officially at year-end, targeting high-yielding German commercial real estate in the core-plus segment.
Warburg-Henderson has calculated a 6.5% distribution yield per year for the fund.
Cordea Savills and Warburg-Henderson's plans will come as a relief to some in the industry, as there has been much speculation in Germany over just how attractive the Spezialfonds vehicle would be in future, in light of the recent implementation of the Alternative Investment Fund Managers Directive.
