Barings has acquired a newly-built retail park in Germany for a separate account mandate.
Barings, on behalf of the Stuttgarter Immobilien-Spezialfonds (SIS), has bought the fully-let 3,900sqm asset in Bad Kreuznach from REBA Residenz Bauträger for €13m.
The asset is let to supermarket chain REWE and drugstore retailer Drogeriemarkt.
Christoph Wittkop, managing director, real estate country head - Germany at Barings, said: “This acquisition aligns perfectly to the strategy for this mandate, which targets stabilised income-producing Grade A retail and office assets in strategic locations in Germany.
“Newly built, this high quality and modern retail park is let to two dominant retailers, which have complementary product offerings, adding to the attraction of this asset for the local community.”
Gunther Deutsch, managing director, head of real estate transactions – Europe at Barings, said: “Due to our local network of experts on the ground across Europe, Barings has remained active in the investment market in recent months enabling us to identify compelling opportunities for our various strategies, such as this.
“At Barings, our confidence in the long term outlook for essential and food retail remains positive. E-commerce penetration in the supermarket sector is still at low levels, largely due to the cost implications for cheap delivery, and we believe spending in this category could increase in the near term due to the impact of COVID-19.”
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