Asset manager BNP Paribas Real Estate Investment Management (REIM) Germany has acquired a flagship retail property in the centre of Kiel for French real estate mutual fund BNP Paribas Diversipierre in an off-market deal.
Financial details were not disclosed.
The asset was sold by Germany's Art Invest Real Estate, which developed the property for Irish retailer Primark last year, across four above-ground floors and one basement level. The fashion chain has just under 10 years remaining on the lease.
The property, which features just under 6,900 m2 of sales space and a total rental area of 8,000 m2, was developed on a 2,100 m2 site. Situated in a downtown location between Holstenstraße and Andreas-Gayk-Straße, it opened in November 2019 to a design from Wegener Architects.
Isabella Chacón Troidl, chief investment officer of BNP Paribas REIM Germany said: 'Kiel’s reputation has grown over the past few years. The property is situated in what is going to be the heart of Kiel’s shopping street.
'The location will particularly benefit from the restoration of the historic waterway connection between the Kleiner Kiel canal and the Bootshafen and Schwedenkai harbours and the creation of new recreational areas along the water. We can also expect to see an increase in the popularity of German cities as travel destinations due to the current travel restrictions.'
The BNP Paribas Diversipierre fund, an OPCI, was launched in 2014 and is structured for private investors in France. Unlike German open-ended real estate funds, this special fund not only acquires assets directly but is also able to participate in other types of real estate investment such as stock and acquiring shares in companies, according to BNP. As of late March 2020, the fund had 27 properties of different usage types in its portfolio with a fund volume of over €2.1 bn.
Hogan Lovells acted as legal advisor to the buyer.
