AEW has purchased a German educational healthcare facility on behalf of a healthcare-focused fund for French retail clients.
The firm, one of the world’s largest real estate investment and asset managers, bought the Berlin property from Pantera, part of the French Nexity Groupe. The transaction represents the fund’s first acquisition in Germany.
Comprising approximately 4,700sqm, the property is located on the campus of the renowned Berlin Accident Hospital (UKB), in the east of the German capital. The asset is fully let on long-term, index-linked leases with a weighted average lease term of more than 10 years to occupiers whose activities are closely connected to UKB and its healthcare and education ecosystem, AEW said in a statement.
“This investment brings together the key characteristics we seek for the fund: a modern, well-located property, resilient uses and secure cashflows supported by established occupiers with strong ties to the UKB hospital campus,” said Fabian Dahlmanns, investment director Germany at AEW.
“The transaction provides attractive income security and exposure to resilient healthcare and educational uses. Securing this opportunity also demonstrates our ability to source high-quality investments with strong fundamentals in a competitive market,” Dahlmanns added.
Pantera recently completed a full refurbishment of the facility, complemented by a newly developed, state-of-the-art extension. AEW said the moves would provide modern, high-quality accommodation tailored to healthcare and educational uses and benefit from the established infrastructure and specialist environment of the UKB campus.
Antoine Barbier, head of AEW Patrimoine, said: “This acquisition in Berlin perfectly illustrates our diversified European healthcare strategy: building a geographically balanced portfolio across Europe focused on healthcare assets, in order to provide our investors with robust, sustainable returns, while investing in state-of-the-art facilities that support and empower the next generation of healthcare professionals.”
AEW was advised by Noerr, TA Europe and Nova Ambiente. JLL advised the vendor.
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