US asset management giant Brookfield Property Partners is reportedly in exclusive negotiations to acquire Potsdamer Platz in Berlin from SEB Asset Management for over €1.4 bn.
US asset management giant Brookfield Property Partners is reportedly in exclusive negotiations to acquire Potsdamer Platz in Berlin from SEB Asset Management for over €1.4 bn.
According to a news report by Europroperty, the US investor emerged ahead of several bidders including Northstar, Blackstone, Singapore's GIC and the Norwegian Norges Bank.
SEB Asset Management hired Eastdil Secured earlier this year to market its flagship Potsdamer Platz holdings in Berlin for a price of around €1.5 bn.
The holdings, which are owned by SEB's Immoinvest open-ended fund in liquidation, involve 18 buildings including the Mandala Hotel, a Cinemaxx cinema and the Arkaden mall.
Potsdamer Platz, designed by architects including Renzo Piano and Richard Rogers, opened in 1998 and has over 250,000 m2 of restaurants, offices, apartments and shops.
SEB AM bought the portfolio back in 2007 from German car maker Daimler for €1.5 bn. Daimler vacated part of the asset in late 2012 and the portfolio is believed to be 20% vacant at present.
SEB AM tried to sell a 50% stake in 2011 to meet withdrawal requests from ImmoInvest shareholders but the assets failed to raise enough interest. In 2013, the asset manager sold the Hyatt hotel out of the Potsdamer Platz portfolio to Qatar’s Al Rayyan Tourism and Investment.
