Ado spends further €130m on apartments in Berlin

Ado Properties, a German subsidiary of Tel Aviv-listed company Ado, has acquired 43 apartment buildings in its target market of Berlin for €130 mln.

The properties, providing 1,300 apartments, were acquired from an international investment fund. The transaction was closed in the first quarter of 2015.

More than 60% of the residential units were built between 1900 and 1930. The bulk of the buildings (around 72%) are located in the upcoming districts of Neukölln, Pankow, Tempelhof/Schöneberg and Wedding. The remainder is located in the more established districts of Charlottenburg/Wilmersdorf, Köpenick, Steglitz and Tiergarten.

Ado said it will draw up an individual modernisation and letting strategy for each building. 'The transaction proves our ability and strategy to acquire smaller or larger portfolios as well as single buildings throughout Berlin,' said CEO Rabin Savion. 'This transaction enables Ado to continue to build a very balanced portfolio with property in inner city and outskirt locations with rent and value potential.'

The deal follows the acquisition at end-March of 5,750 residential units in Berlin for €375 mln, a transaction which Ado said had nearly doubled its portfolio.

Ado Properties' principal shareholder is Shikun & Binui - an Israeli listed real estate and infrastructure group, which is globally active in 20 countries.

For more on Ado Properties, see Israeli investor buys €375m of Berlin homes ahead of rumoured listing