German fund manager Commerz Real has emerged as the buyer of Omniturm, Tishman Speyer's major mixed-use development project in Frankfurt’s central business district, on behalf of its hausInvest open-ended real estate fund.
The purchase price was kept confidential. However, German press reports put the deal price at nearly €700 mln.
'This is a prime piece of real estate developed by Tishman Speyer in a premium location with an outstanding design and architecture,' commented Andreas Muschter, Chief Executive Officer of Commerz Real. 'We were convinced by its exceptional and unique features coupled with the mixture of usage types; it will enrich our fund portfolio.'
The 190 metre-high, 45-storey tower will offer over 54,100 m2 of leasable area including 44,200 m2 of office space and 147 apartments once completed in the third quarter of 2019. The asset will see its first tenants, Morgan Stanley and CBRE, move in next year.
The development is targeting LEED Platinum certification upon completion.
Commerz Real was advised on the recent transaction by Taylor Wessing (legal due diligence), EY (fiscal due diligence) and REAG (technical due diligence). Freshfields Bruckhaus Deringer LLP (legal), the real estate service providers BNP Paribas Real Estate and CBRE advised Tishman Speyer.
The transaction is the latest of a string of tower deals in Frankfurt. Last week, independent asset manager Schroders acquired the Pollux office tower in Frankfurt from Blackstone's Officefirst property arm for a price over €220 mln while German investor and asset manager GEG bought the Garden Tower in the heart of Frankfurt’s banking district from a core-plus fund advised and managed by Tristan Capital Partners. The transaction price amounted to €275 mln.
Also, the Trianon Tower owned by NorthStar Realty Europe is believed to nearing a sale to a consortium of South Korean investors while Pecan Development and Aermont Capital’s €1.3 bn Perella Weinberg Real Estate Fund II are understood to be selling the 155-metre high, 45,500-m2 MarienTurm project which is largely pre-let with US investment bank Goldman Sachs due to occupy a quarter of the space.
