DIC Asset has acquired a mixed-use property portfolio from SEB Immobilien-Investment for about EUR 460 mln, including transaction costs. DIC Asset's chairman Ulrich Holler said the company is planning to make further investments this year of at least EUR 1 bn. 'The purchase of this valuable portfolio is the start of the announced implementation of our third strategy level, which will be characterised by significant market penetration,' Holler added.

DIC Asset has acquired a mixed-use property portfolio from SEB Immobilien-Investment for about EUR 460 mln, including transaction costs. DIC Asset's chairman Ulrich Holler said the company is planning to make further investments this year of at least EUR 1 bn. 'The purchase of this valuable portfolio is the start of the announced implementation of our third strategy level, which will be characterised by significant market penetration,' Holler added.

The Frankfurt-based real estate investment company was awarded the 26-asset portfolio in a bidding contest, in which CB Richard Ellis acted as adviser. The office and commercial properties provide some 263,000 m2 of floor space and are located in various German cities such as Munich, Hannover, Duisburg, Darmstadt, Essen, Mannheim and Hamburg. The comprises 60% of offices and 18% of retail with the remaining involving other commercial real estate such as logistics.

Major tenants include the Federal State of Hessen, Deutsche Bahn, GE Money Bank and Saturn. The average lease length is seven years and the portfolio's rental income per annum comes to EUR 26.5 mln. The company said it is planning to reduce the current vacancy rate of 15%. DIC Asset was advised by Landesbank Berlin during the transaction.