Bayerische Versorgungskammer (BVK) has strengthened its relationship with Instone Real Estate with an agreement to buy an 18,000sqm residential portfolio yet to be built by the German developer.
The €72bn German pension investor BVK is buying part of the the Stuttgart City Prag – Wohnen im Theaterviertel project in Stuttgart. BVK said it will acquire 250 residential units, which includes 24 rent-controlled flats, for an undisclosed sum.
Instone is planning to begin construction work on the project in spring of 2019 and to complete the project by 2022.
Christoph Geirhos, the head of real estate investment for the DACH region at BVK, said: “Our residential portfolio is perfectly complemented by the 250 units at the Pragsattel site in Stuttgart.
“The strong housing demand in Stuttgart, the attractive location, the well-considered concept plus the trust-based and proven collaboration with Instone persuaded us to invest in this project early on.”
BVK’s previously collaboration with Instone by acquiring half of 550 flats in Bonn being developed by Instaone.
Andreas Gräf, CDO of Instone Real Estate, said: “For us, the trust that Bayerische Versorgungskammer has put in us as residential developer by acquiring these 250 units before construction has even started is considered as an important confirmation of our strategy and of our masterplan at the Pragsattel location in Stuttgart.
The future residents of the quarter will benefit from this high-quality partnership more than anybody else.”