Frankfurt-listed investor CPI Property Group has struck another UK deal, acquiring two prime residential assets covering 40,000 ft2 of space in London for £40 mln (€44 mln).
The move follows the firm's entry into the UK in 2018, continuing its residential and mixed-use play in central London.
The first property, St. Mark’s Court, is located in St. John’s Wood, and comprises an unbroken freehold terrace consisting of 24 apartments, with the potential for further expansion on site.
The second property, Metrogate House, is located in South Kensington. Metrogate House consists of three interconnected white stucco terrace properties, which are currently leased to a student accommodation provider.
David Greenbaum, CPI's chief financial officer said: 'While our core business remains focused on our key office markets of Prague, Berlin and Warsaw, we continue to see compelling investment opportunities in the UK on an opportunistic basis where outstanding long-term value can be achieved.
'Despite a turbulent year for many sectors, residential has outperformed and we are confident in the long-term fundamentals of both of these sites. We look forward to working with Dean to comprehensively refurbish these assets as part of our strategy for a long-term hold in the rental market.'
CPI said it had identified a broad range of opportunities to drive value at both properties, including a comprehensive refurbishment programme.
Following the deals, CPI owns around £200 mln in the UK as part of its broader European portfolio, which is valued at €10 bn and consists mostly of offices, in addition to retail, residential, hotel, land bank and logistics assets.
