German investment manager Deutsche Investment has acquired a portfolio of 212 residential and 18 commercial units across eleven properties in Düsseldorf and Cologne for €65.5 mln.
The deals mark its first moves into the region, and were executed on behalf on Deutsche Investment – Wohnen V. The seller was a family office.
Located in downtown areas, the assets all feature a high occupancy rate. The properties Düsseldorf are located in the boroughs 1, 3 and 7. The properties in Cologne are located in the inner-city districts of Ehrenfeld and Porz.
To manage the properties, Deutsche Investment and EB Group will open an office in Düsseldorf that will be staffed with a team of property management, lettings management and facility management specialists as of 4 January 2021.
Together with the existing offices in Hamburg, Berlin, Nuremberg and Dresden, opening the office in Düsseldorf will bring the number of cities where Deutsche Investment maintains a presence on the ground up to five.
Enver Büyükarslan, the principle shareholder of Deutsche Investment said: 'With the acquisition of these residential properties, we are entering yet another metro region beyond our traditional investment centres, Hamburg and Berlin, and thus implementing an important step of our diversification strategy.
'We will use the successfully completed transaction as template for successive future acquisitions of properties in Düsseldorf and Cologne that match our strategy.
'Going forward, the properties will be managed from our new office in Düsseldorf. It is the best way to ensure we remain close to our assets, tenants and business partners in this as in other regions so as to deliver our end-to-end real estate competence.'
'Between Rhine and Ruhr lies the most populous metro region of Germany, which is particularly interesting to us because of its economic and demographic parameters, and which offers us attractive possibilities for further risk diversification. Additional properties in the region are already undergoing their pre-acquisition audits,' added Niklas Deuerling, transaction manager of Deutsche Investment.
Other assets in Deutsche Investment – Wohnen V are distributed across the German states of Berlin, Saxony, Thuringia and North Rhine-Westphalia.
The transfer of benefits and burdens will take place in early 2021. Aengevelt Immobilien acted in an advisory role during the transaction.
