Round Hill Capital has acquired a 1,000 unit housing portfolio in German for its ’s European core/core-plus residential fund.

The manager said its European Residential Income Fund II (ERIF II) fund has bought the portfolio in East Germany from a subsidiary of Orlando Real Berlin.

Spread across 13 clusters in Halle and Magdeburg, the deal includes 982 residential units spanning 52,819sqm and 4 commercial units.

The latest transaction is the fourth deal for the ERIF II which completed three multifamily housing deals in the Netherlands in December last year.

The fund had a €200m first close in September 2020 and targets markets including the Netherlands, Germany and the Nordics.

Michael Bickford, founder and CEO of Round Hill Capital, said: “The first transactions for the ERIF II fund in Germany and the Netherlands, underline the strength of European multifamily investment activity and Round Hill Capital’s ability to identify and complete transactions with the benefit of our long-standing presence and track record in these markets.

“The current economic conditions have tested many asset classes, yet accommodation continues to provide consistently stable income streams at a time when yield is under intense pressure and this is driving investment demand from international institutional investors. We look forward to continuing to invest further capital in the near future.”

Marcus Eilers, managing director in Germany at Round Hill Capital, said:

“We are delighted that one of the first acquisitions for ERIF II was executed in Germany, where Round Hill Capital has been active for many years and has built a strong track record.”

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