Catella, Arab Bank JV expands further in Germany

Catella Property Fund Management has acquired six mixed-use assets for a total EUR 31 mln on behalf of AB CPFM Real Estate Holding, a joint venture between Catella and Arab Bank.

The partnership bought a semi-industrial warehouse in Bremen from manufacturing company Molan in a sale-and-leaseback transaction. The deal reflected a gross yield of 7.4% (including all costs).

In a second transaction, the joint venture purchased five assets across Germany. Four of the properties are leased to Wessels + Müller, and the fifth in Michelstadt is let to Edeka. All the properties are all let on 15-year contracts. The portfolio was acquired at a gross acquisition yield of 6.5%.

'The acquisition of these assets helps us fulfill the investment strategy of the second joint venture with Arab Bank,' said Enrico van Erkelens, managing director of Catella Property Fund Management. 'The acquisitions have been financed by using our own resources, which creates flexibility and independency. The debt structure will be optimised at the moment the financial markets return to a normal situation.'

The joint venture has EUR 87 mln worth of property assets in the Netherlands, Belgium and Germany, and has a target volume of EUR 125 mln.