Global real estate fund manager Round Hill Capital has invested €89m in German residential assets.

The Round Hill Capital European Residential Income Fund II (ERIF II) has acquired 541 residential for-rent units across seven assets in Greater Berlin via three transactions.

They include the acquisition of 497 residential units across five assets from TAG Immobilien. The properties are located in Hennigsdorf, Königs Wusterhausen, Ludwigsfelde, Stahnsdorf and Potsdam.

The fund manager also bought 44 units in Greater Berlin from two distinct local market sellers. These comprise a property in Königs Wusterhausen and one in Strausberg.

The latest transactions give the ERIF II fund 2,600 units across Germany, Ireland, the Netherlands, Denmark and Finland.

ERIF II, a European core/core-plus multifamily real estate fund, closed in May 2023 with €440m in equity commitments.

Michael Bickford, CEO at Round Hill Capital, said: “These acquisitions build further momentum in our goal of assembling a high-quality portfolio of residential for-rent properties in supply-constrained markets across Europe on behalf of ERIF II.”

Bickford said ERIF II still has “significant dry powder to deploy into similar assets with the right fundamentals”, targeting core/core-plus returns from lower-risk-profile assets, particularly as they become available in the current uncertain market conditions.

Bickford added: “Germany has always been an attractive market and one in which we have been active participants for nearly two decades across a number of strategies on behalf of different clients.”

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