German property investor Commerz Real has sold the Grand Campus office complex in Frankfurt to investment manager Arminius Group, which was acting on behalf of a German pension fund.

frankfurt

Frankfurt

Although financial details were kept confidential, market sources believe the asset sold at circa €560 mln which equates to a yield of 5.5%.

Located at Mainzer Landstrasse 151-157 and occupied by Commerzbank, the office ensemble provides 60,800 m2 of leasable space and was built in 2001. It was owned by Commerz Real’s CFB-Fonds 137 Trading Center, Frankfurt City closed-end real estate fund, which is being liquidated following the sale.

The Grand Campus, which was also known by the names Trading Center and Service Centre (or DLZ for short), is leased to Commerzbank on a long-term basis and alongside the renowned Commerzbank Tower is one of the bank’s key sites in Frankfurt. The entire complex comprises four – originally as many as five – buildings, of which three (DLZ 1-3) were built in 2001 and became part of CFB-Fonds 137.

’With the successful sale our investors are profiting from the very dynamic development of this district between the central station and the fair trade grounds,' said Heiko Szczodrowski, head of asset structuring portfolio management at Commerz Real. ‘As a result of the development numerous large-scale office and residential projects have been completed in recent years or are currently under construction and have led to a significant revitalisation of the location on Mainzer Landstrasse.’

Commerz Real was advised by BNPPRE and CBRE.