A fund managed by US-based Ares Management and German housing specialist Forte Capital has acquired 215 residential units in Kiel, the capital of the federal state of Schleswig-Holstein in northern Germany.
The portfolio with a total gross leasable area (GLA) of 17,000 m2 was purchased for an undisclosed amount.
The deal lifts the number of residential units owned in Germany by the two investors to a total of approximately 4,500 units.
Ares and Forte said they intend to retain the properties in their joint portfolio over the long term with a focus on expanding the range of renovated and affordable residential units in the region.
‘This expansion is part of a long-term commitment to Germany as a priority market for our residential investment strategy. Since 2013, we have partnered with Forte to create a modern and affordable housing stock throughout Germany,’ said Klaus Schmitz, managing director in the Real Estate Group of Ares. ‘Together with Forte, we will continue to identify opportunities for further growth in Germany. We believe the portfolio that we have created, and will continue to expand, provides for stable, long-term cash flows for our investors.’
