German lender Deutsche Hypothekenbank provided €88 mln in financing for BNP Paribas REIM's recent acquisition of the Art Déco Palais office building in Munich.

German lender Deutsche Hypothekenbank provided €88 mln in financing for BNP Paribas REIM's recent acquisition of the Art Déco Palais office building in Munich.

BNP Paribas REIM Germany announced the acquisition, which was carried out on behalf of one of its special funds, on 13 January. The 41,000 m2 multi-tenant building was bought for a price in the low three-digit million euro range, the company said.

Built by Robert Vorhoelzer in 1924 as the Regional Post Directorate, the seven-storey property is regarded as one of the few examples of classical modernity in Munich. Between 2007 and 2010 the previous owner comprehensively renovated and redesigned it to adapt it to modern requirements.

The complex is currently 98% let with tenants including Deutsche Post Immobilien and another 30 occupiers. The average remaining term of the tenancy agreements is 4.5 years, without taking into account options for extensions.