Tristan Capital Partners’ core-plus perpetual fund has bought a €147m German office portfolio from Cording Real Estate Group.

The CCP 5 fund, which is advised by Tristan together with Investa Real Estate, has acquired a 79,200 sqm portfolio of eight office buildings.

The portfolio consists of an office building in Hamburg, which forms the largest portion of the value of the transaction at around 25%. The other single assets are located in Cologne, Hannover, Braunschweig, Erlangen, Mannheim and Kassel.

Investa Real Estate will act as asset manager to CCP 5.

Constantin Plenge, executive director, at Tristan Capital Partners, said the acquisition of this portfolio concludes a record year for Tristan in Germany, taking the total transaction volume of its funds to more than €1.0bn.

“This portfolio was particularly attractive given that all of the offices are in attractive locations in primary submarkets with sub 3% vacancy on average.

“The buildings are of good quality and have been well managed to date and our focus will be on leasing up the remaining vacant space to further stabilise the assets,” Plenge said.

Felix Jethon, head of fund management, Germany, Cording Real Estate Group, said: “The portfolio was acquired 2-1/2 years ago and through active asset management by our nationwide team and repositioning of some assets, we have seen a rise in occupancy rates, a 7% uplift in rental income and an increase of over a year in the average unexpired lease terms.

“This, in turn, allowed us to exceed our business plan targets, which were reached ahead of schedule, allowing early disposal of the portfolio.”