AIM-listed property company Develica Deutschland Limited (DDE) has announced it is to acquire a German first-class office portfolio for EUR 266.3 mln in cash. The price reflects a net initial yield of 5.87%, Develica said in a press release.

AIM-listed property company Develica Deutschland Limited (DDE) has announced it is to acquire a German first-class office portfolio for EUR 266.3 mln in cash. The price reflects a net initial yield of 5.87%, Develica said in a press release.

The Blue Star portfolio comprises three fully-let buildings covering an area of 80,000 m2 in Bonn, Stuttgart and Munich. In a statement, the company indicated that the properties generate EUR 15.6 mln of income per annum.

In Stuttgart, Develica purchased a 23,776 m2 office building let to the German Daimler Chrysler Bank. In Bonn, it acquired a 33,614 m2 building let to the telecommunication company Deutsche Telekom, whilst Munich property is a 22,061 m2 building on a high-tech office campus let to Hewlett Packard.

In the last six months, the German group 'purchased EUR 583 mln of assets', Develica's chairman Derek Butler said in a statement. Last month, DDE exchanged contracts to acquire about 1 million m2 of retail and logistic properties for close to EUR 135 mln.