CBRE IM buys additional €360m assets from German property firm Vonovia

CBRE Investment Management (IM) is acquiring a further €360m worth of multifamily properties from listed German residential property company Vonovia.

The $144bn (€135bn) global real assets manager said it has agreed to buy the 91,275sqm portfolio in Berlin, consisting of around 1,200 residential apartments.

The portfolio, all newly built or delivered in stages with full completion by mid-2024, comprises 16 buildings in three different locations in Berlin. 

The latest transaction follows an acquisition in May this year when CBRE IM announced it was buying a €560m portfolio of 1,350 apartments from Vonovia. The deal involved newly built multifamily assets comprising two properties in Berlin, two in Munich, and one in Frankfurt.

CBRE IM is an investor-operator in residential with €10.9bn residential assets under management in EMEA for the firm’s direct and indirect strategies.

Sebastian Ehrhardt, head of CBRE IM’s transactions in Germany, said: “We have been provided a fantastic opportunity to add to the high-quality residential portfolio that we acquired earlier this year.

“This core portfolio aligns with two of CBRE IM’s investment strategies and meets their affordability, sustainability, and investment requirements. Recognising that we are in a unique investment window, we remain focused on unlocking further opportunities across Germany.”

Marius Schöner, head of CBRE IM’s EMEA residential operator division, said: “This transaction reflects our ability to leverage our in-house capabilities and expertise to secure compelling opportunities, as we continue to scale our residential platform. We have moved at pace and closed this deal, in challenging market conditions on behalf of a number of capital sources.

“With a significant supply deficit of new homes in Berlin, the occupier demand for multifamily homes is high. We expect that the buildings still to be completed will quickly lease up and that we achieve strong occupancy levels across the portfolio.”

To read the latest IPE Real Assets magazine click here.