DIC Asset has announced the off-market purchase of the Mercedes-Benz-Center at Mercedes-Allee 1 in Cologne-West for its balance sheet portfolio. The total investment costs (TIC) for the property, which meets high-end architectural and quality standards, approximate €71 mln, reflecting a gross rental yield of more than 7%.
Located in the technology park in Cologne's Müngersdorf district, the asset is fully occupied by the blue-chip company Daimler, which uses the location as a prestigious show room for its product line-up while also providing a full range of services for the entire Rhineland region.
The 34,600-m2 building of four above-ground and two basement levels was constructed for Daimler in 2006. It features state-of-the-art exhibition space, office units, conference rooms and gastronomy units as well as workshops. In addition, it provides over 400 parking spots. The lease will expire at the end of 2025 (in 4.7 years) and has two renewal options of 5 years each.
‘The acquisition of the Mercedes-Benz-Center represents yet another milestone deal for us. This acquisition for our balance sheet portfolio immediately starts to generate attractive cash flows and positions us within a dynamic environment in western Cologne where we will shape the further development of this area in the years to come, together with the most important local players,’ commented Sonja Wärntges, CEO of DIC Asset.
Colliers brokered the deal.
