Arrow Global is strengthening its servicing offering in Germany by acquiring a local real estate developer in a deal expected to help the firm’s regional expansion in servicing and equity investments.
Through its German business, the alternative asset manager, specialising in credit and real estate, has invested an unspecified amount to acquire the operating platform and assets of Interboden, a company founded in 1950.
Interboden, which specialises in residential development, currently manages projects with a gross development value of over €500m.
The acquisition includes all employees and related servicing contracts across offices in Dusseldorf, Berlin, and Leverkusen, allowing Arrow Germany to support servicing arrangements and evaluate near term deployment opportunities across the country, it said.
Bernhard H Hansen has been appointed interim CEO to lead Interboden alongside the existing management team. Hansen’s previous roles include CEO of Vivico RE, CEO of Deutsche Interhotel and head of construction at the European Space Agency.
Interboden’s two previous shareholders, Thomas Götzen and Reiner Götzen, will depart to pursue new opportunities.
Zach Lewy, founder, CEO and CIO at Arrow Global, said: ”Interboden’s capabilities provide Arrow with immediate scale and presence in one of Europe’s largest real estate markets. Our opportunistic real estate strategy focuses on acquiring assets with substantial value-add and repositioning potential.
“This acquisition, for a minimal outlay, is perfectly aligned with our objectives and leverages Interboden’s deep local expertise.”
René Maler, CFO of Interboden, said: “Joining Arrow’s network of local servicing platforms will enable our business to grow by combining our local knowledge and expertise with an institutional approach to investment during a time of stress in the German real estate market.
“We are excited about the opportunities this creates as we become an important part of Arrow’s real estate and credit investment proposition.”
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