Catella Residential Investment Management (CRIM) has invested €50m to buy a residential project in Germany, on behalf of a separate mandate for a southern German pension fund.

The asset, located in Bahnstadt in Heidelberg, was acquired from Kreer Development.

The complex will be completed in the first quarter of 2023 and will include 108 residential units and 1,340sqm of ground floor retail spread over two separate buildings.

CRIM said the latest deal lifts the total assets managed for the mandate to more than €800m. The mandate, structured as a German institutional fund, invests in four countries across Europe.

Michael Keune, managing director Catella Residential Investment Management, said: “This latest addition to the European portfolio of our institutional mandate is breaking new ground in terms of sustainability and social impact standards and is one of the last available properties in the new district.

“The development will comprise both rent-controlled and mid-range rental accommodation integrated within the buildings, creating a diverse social mix of residents.”

To read the digital edition of the latest IPE Real Assets magazine click here