AXA IM Alts and Sirius Real Estate have made an €80m acquisition for their German business park joint venture.
The joint venture, known as Titanium, has agreed to buy the 113,000sqm Sigma Technopark in Augsburg from a German fund managed by Corestate.
The Sigma Technopark business park, which is currently 90% let to 74 tenants, will be rebranded as a Sirius business park.
The asset offers strong asset management potential and the opportunity for repositioning through capex investment to improve occupancy and rental rates.
The acquisition lifts Titanium portfolio to €317m, up from €168m.
The Titanium joint venture, formed in 2019, aims to grow primarily through the acquisition of larger stabilised business park assets and portfolios with strong tenant profiles and occupancy.
John O’Driscoll, head of European transactions at AXA IM Alts, said: “This transaction further extends the portfolio of business parks we hold in our Titanium joint venture with Sirius Real Estate.
“It is a high-quality asset in a sector that has proven to be robust and resilient throughout the COVID-19 crisis both in terms of occupancy and rent collection. Our ambitions to grow this joint venture are strengthened and we look forward to working with Sirius Real Estate on this and future opportunities.”
Andrew Coombs, CEO of Sirius Real Estate, said: “This acquisition is a great example of the type of assets in which we want to invest alongside AXA IM Alts in the Titanium joint venture.
“It is a well located, large scale business park which offers both good quality day one income as well as an opportunity to grow rental income and create value through asset management. Alongside AXA IM Alts we have strong ambitions to grow the Titanium portfolio significantly and have a strong pipeline of further opportunities that we continue to explore.”
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