Catella targets €150m for second Southern Germany fund

Catella Real Estate has announced the launch of a new special fund which is seeking to raise €150 mln to target real estate in southern Germany.

The IWS II–Wirtschaftsregionen Süddeutschland will focus on first and second-tier cities in Bavaria and Baden-Württemberg, with a targeted return of 4 to 5%.

The vehicle - the group's second for Southern Germany - is structured as an open-ended Spezial AIF according to KAGB regulations. It will largely target office buildings which will account for a 40-60% share of the portfolio, followed by retail (20-40%), and logistics (20-40%). The fund will have a lifetime of 8-10 years, with an option for two extensions of two years each.

Since its launch at the end of 2011, its predecessor, IWS I has built up a net volume of €155 mln.

Munich-based Catella Real Estate manages a portfolio worth over €2 bn. It was founded in 2007 and is part of Catella, a Swedish financial adviser and asset manager with specialist expertise within property, fixed-income and equity.