Corestate Group has sold a German residential portfolio with about 2,000 units after giving it property and asset management therapy.
Corestate Group has sold a German residential portfolio with about 2,000 units after giving it property and asset management therapy.
Two unidentified institutional investors acquired the portfolio for €77 mln.
The properties are located in medium-sized cities in the German states of Bavaria, Bremen, Hesse, Lower Saxony, North Rhine-Westphalia, Saxony and Schleswig-Holstein.
Thomas Landschreiber, chief operating officer at Corestate, said: 'Due to our broad-based property and asset management platform we were able to increase the value of this scattered portfolio. By investing capital, the overall state of the assets was improved and vacancy rates were lowered. This acquisition by two institutional investors shows that stable properties in Germany - even outside the top cities - remain a popular and liquid asset class.'
Headquartered in Zug, Switzerland, Corestate specialises in turning around under-performing residential property portfolios in Germany. The business has invested more than €3 bn in the real estate market both through direct and indirect transactions since it was founded in 2006.