TRIUVA, a real estate fund manager owned by Patrizia, has has agreed the forward purchase of Junghof Plaza, a 33,000sqm, mixed-use property in Frankfurt.

The property was bought on behalf of a large German pension scheme from a joint venture between PGIM Real Estate, an unnamed institutional investor and FGI Frankfurter Gewerbeimmobilien.

The purchase price was not disclosed.

Philipp Schaper, group head of transactions at Patrizia, said: “The Junghof Plaza will create a first-class landmark asset and a new destination within Frankfurt’s city centre.

“Due to the outstanding location, we are convinced that we can realise significant increases in value for our client.”

Located on Junghofstrasse, in the banking quarter of Frankfurt’s central business district, Junghof will be redeveloped into modern office space featuring two inner courtyards, retail space with food and beverage outlets, and hotel space.

The property is more than 60% pre-let to tenants that include Clifford Chance, Ruby Hotels and L’Osteria.

Demolition works have begun, with construction due to commence shortly.

PGIM Real Estate had entered into the joint venture with an institutional investor and developer FGI on behalf of its pan-European value-add fund.

Sebastiano Ferrante, head of Germany and Italy for PGIM Real Estate, said: “Having acquired Junghof as a vacant and partially obsolete building, we are delighted with the progression of this major project in Frankfurt’s commercial business district.

“In addition to pre-leasing the project to prime tenants, one of our key objectives was to identify a reliable and reputable purchaser to further the execution of the project. We believe we have secured an ideal partner in Triuva on this forward sale.”