Tishman Speyer has acquired an 88-unit housing project in Grenzach-Wyhlen in southwest Germany for an undisclosed amount.
The real estate manager, investing on behalf of an open-ended fund, is buying the housing project in a forward funding deal from Dutch construction and development company Ten Brinke.
The asset forms part of the Kapellenbach-Ost urban quarter development.
Guido Boltes, senior director at Tishman Speyer, said: “The project combines first-class residential space with sustainable urban development in a budding new quarter. The vibrant Basel metropolitan region, the dynamic border triangle between Germany, France and Switzerland, and the high demand for residential space in the German-Swiss border region, make this project a very attractive investment.”
Charles Smith, managing director at Tishman Speyer, said: “Investors’ expectations on the ROI [return on investment] of real estate investments have grown significantly following the interest rate reversal. At the same time, demand for ESG-compliant products remains high.
“This makes subsidised housing with KfW-40 QNG standard and a social housing component, particularly in Baden-Württemberg and Bavaria, an interesting opportunity. We have a comprehensive pipeline in that segment and will be opening access to investors into that particular asset class in Germany.”
To read the latest edition of the latest IPE Real Assets magazine click here.
No comments yet