DIC Asset has launched a German office fund targeting core properties with long leases.
The open-ended, €200m Office Balance II fund, has been created for Stuggart’s SV SparkassenVersicherung and Helaba Invest, on behalf of several institutional investors.
DIC Asset said it would take a 5% stake in the fund alongside asset and property management duties.
With an initial target volume of €200m, is DIC Asset’s third institutional product.
The fund has bought a fully let office property in Cologne, the ‘Barbarossa center’, for €32m.
The two institutional office funds, Office Balance I and Office Balance II have so far received €520m in commitments, putting DIC Asset at 75% of its €700m total target volume.
The Frankfurt-based fund manager said it had also spent €27m on two properties for its High Street Balance fund, taking acquisitions this year to €60m.
DIC Asset said institutional investors committed to its funds include pension funds, foundations, insurance companies and family offices.