Berlin-based Catella Residential Investment Management (CRIM) and Munich-headquartered Catella Real Estate AG (CREAG) have acquired four residential properties, including two in the micro and assisted living market segments, in Germany on behalf of the Catella Wohnen Europa (CWE) Fund.
The combined value of the deals is in excess of €125 mln and they all fall within the ‘affordable rents’ category.
The transactions encompass the purchase of a redevelopment project in Zossen, two new developments in Berlin and Würzburg, and an existing apartment block in Dortmund, and will boost the volume of the fund’s portfolio to more than €1.2 bn. The number of apartments held in the vehicle is now over 6,000. The acquisitions were made through CREAG’s AIFM platform.
Benjamin Rüther, head of fund management at CRIM, said: 'The move to environmental as well as social impact investing is accelerating with the introduction of the EU’s SFDR regulations and residential real estate is a frontrunner when it comes to delivering positive outcomes in these ESG areas.
'Each of these assets tick the ESG boxes in their own way - three of the properties offer well-located, modern and sustainable accommodation at affordable rents for key workers and their families, while the fourth is a residential complex offering a wide range of housing and care options for the elderly and people with disabilities.'
In Zossen, to the south of Berlin, the CWE fund has acquired a former army barracks for approximately €38 mln which is being converted into residential units. The 14,439 m2 scheme, consisting of five three-storey buildings, is being redeveloped in two phases and will offer 207 apartments and maisonettes, each with a balcony or terrace and with a recreation area and playground.
The second acquisition was made in Berlin-Marzahn for approximately €25 mln from T&T Grundbesitz. The 5,842 m2 scheme forms the second phase of a 237-unit development and comprises 72 apartments as well as a childcare centre on the ground floor. CWE acquired the first phase, consisting of 165 apartments over three buildings plus three commercial units, in 2020. The vendor was advised by Best Place Immobilien.
The third acquisition of around €50 mln comprises a recently completed residential complex in Dortmund offering 365 fully furnished micro-apartments, ranging in size between 22 and 49 m2, plus 73 underground parking spaces. The 10,400 m2 apartment block is located in the Kreuzviertel district.
The seller, Revitalis Real Estate AG, was advised on the transaction by law firm Hogan Lovells International LLP Düsseldorf. CRIM was legally represented by REIUS Rechtsanwälte Hamburg.
The Catella Wohnen Europa Fund has also acquired a 3,231 m2 residential project for seniors and disabled residents in Würzburg to the southeast of Frankfurt for around €10 mln. The facility also comprises a wellness/therapeutic centre.
Michael Keune, managing director of CRIM, said: 'These acquisitions demonstrate the strengths of the Catella Residential platform, which now has more than €5 billion of residential real estate across Europe.
'The breadth of our expertise combined with our local networks enables us to source properties which offer very real benefits in terms of quality and affordability to residents, but also provide our investors with long-term, secure income and the knowledge that their investment is being used to address social issues arising as a result of the shortage of suitable homes across Europe.'
