HIH Invest Real Estate has bought a day nursery in Gelsenkirchen in western Germany for an undisclosed sum.

The real estate manager said the 900sqm property, located in Buer, will be added to the open-ended Zukunft Invest day nursery fund.

Jens Nagelsmeier, the head of retail transaction management at HIH Invest, said: “Day nurseries offer stable long-term returns. Moreover, the default risk is very low because of the public-sector operator, and because the demand for day-care spots is permanently strong.”

The latest acquisition in Gelsenkirchen brings the Zukunft Invest fund’s investment volume to up to €40m, the manager said, adding that the fund targets a total investment volume of not less than €100m.

The Zukunft Invest fund invests in existing modern properties that have either undergone shell-and-core refurbishments or else are in good repair, as well as in property developments that will deliver new child care spots.

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