FIM Group has bought an €86.4m German retail portfolio from a fund managed by M7 Real Estate.
Announcing the deal, M7 said it has sold the portfolio of 27 retail properties on behalf of M7 Islay, a fund which has invested around €440m in industrial, retail and office properties in Germany and the Netherlands.
The assets sold have a total rental area of 72,594sqm and are 92% let to a range of occupiers.
Jan Lerke, FIM Group MD responsible for real estate management, said: “We see good potential for value enhancement in the portfolio, and we want to continue the path already taken by M7 by optimising individual properties.
“In this regard, we are holding talks with initial operators. The retail package is particularly interesting for us because of the individual locations in major cities such as Hanover or Saarbrücken.”
M7 said the fund acquired the properties in separate transactions in 2015 and 2016.
Alyssa Huse, managing director, of M7 Real Estate in Germany, said: “This sale is in line with our business plan and has delivered attractive returns for our investors.
“Leveraging our asset management expertise, we have improved the performance across the portfolio, attracting a diverse occupancy base to these well-located assets and creating an attractive market proposition.”
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