AXA Real Estate has completed the acquisition of a residential development in Hanover on behalf of its German multi-family residential fund, AXA Immoresidential.
AXA Real Estate has completed the acquisition of a residential development in Hanover on behalf of its German multi-family residential fund, AXA Immoresidential.
Financial details were not disclosed, but following completion of the acquisition, AXA Immoresidential will have invested €130 mln in five assets since the beginning of 2013.
The Hanover property is located in the Zooviertel district, while the other four are located in Köln-Nippes, Düsseldorf, Berlin and Köln-Braunsfeld.
A further asset in Siegen, which is under development, is expected to be transferred to the fund within the next 12 months. The fund also plans to acquire a further two developments in Aachen and Köln-Höhenhaus during 2014, bringing the fund's total size to €240 mln.
AXA Real Estate said the vehicle has a total capacity of €310 mln, including capital raised over the last 18 months. The fund manager aims to increase the invested fund volume to €500 mln, it added.
AXA Immoresidential was launched in February 2009 with a low risk oriented strategy and is structured as an open-ended special fund according to German investment law. It is targeted at German institutional clients.
'In parallel to the office and retail sectors, AXA Real Estate is also growing in the German residential market,' said Matthias Leube, managing director of Real Estate within AXA Investment Managers Deutschland. 'Due to the low risk/return profile, multi-family housing has become an important addition to the real estate allocations of many institutional investors while investing in Germany. AXA Immoresidential offers the opportunity to buy into a qualitatively high residential portfolio, which is specialised at new or like-new properties.'
