DIC Asset has announced the purchase of two high-end office properties for a total of €160 mln.
The properties, which are earmarked for institutional investment vehicles already launched, are Section B of the Look 21 property in downtown Stuttgart.
The building was acquired for €122 mln from USWM-Immobilien together with its two shareholders, Südwestmetall (the Metal and Electrical Industry Employers' Association for Baden-Württemberg) and Unternehmensverband Südwest (an independent employers' association).
The new-build property of around 11,200 m2 of lettable area is fully let to a high-net-worth tenant from the infrastructure sector on a 12-year lease.
The new-build HangarOne office scheme in Cologne was developed on the historic airport grounds and is now part of the dynamic office market of the Ossendorf district north-west of the inner city. It was acquired from the Aachen-based developer nesseler projektidee at a cost of €38 mln.
The five-storey office building will be completed by the fourth quarter of 2020. It provides around 8,500 m2 of lettable area and is 60% pre-let.
‘With the two new additions in Cologne and Stuttgart, we have now cleared the half-way mark of this year's acquisition target of €500-800 mln for the Institutional Business. Additional acquisitions still in the pipeline will be closed in the coming weeks. We are pleased with the robustness of the German transactions market, and therefore very confident of our ability to achieve the acquisition target in the course of a dynamic final quarter as planned,’ commented Johannes von Mutius, Chief Investment Officer of DIC Asset.
