Swedish real estate group Heimstaden has made its first acquisition in Germany through a partnership with Skjerven Group.

The Berlin-headquartered real estate manager Skjerven said it has bought a €66m property portfolio on behalf of the Scandinavian residential property firm from .

The ten residential properties in Berlin-Spandau comprise 484 residential units with a total of 27,831sqm of living space and 50 parking spaces.

Skjerven said the transaction marks the start of a long-term investment drive by Heimstaden.

Einar Skjerven, the CEO of Skjerven Group, said: “We have been developing our extensive regional expertise and robust network for more than a decade, which means that we are ideally placed to support Heimstaden as it enters its first market outside Scandinavia.

“At the same time, our own Scandinavian background can only benefit our cooperation with our new Scandinavian partners.”

Magnus Nordholm, the deputy CEO of Heimstaden, said: “We are delighted to make such a successful entry into the German market. Real estate prices in Berlin are growing steadily, starting from a relatively low level.

“In combination with a very stable rental market, which hardly has any vacancies, this represents a very solid basis for profitable investments.”

Nordholm said German residential real estate markets continue to offer great potential, especially with the long-term investment strategy Heimstaden is are pursuing.

Heimstaden currently owns, develops and manages residential properties in Sweden, Norway and Denmark. Heimstaden’s 31,600 apartments and real estate assets are worth around SEK54.8bn (€5.27bn).