Amsterdam-based Prime Pitch Asset Management has completed the purchase of the Karavelle Quartier mixed-use scheme in the eastern German city of Rostock. The vendor was Dutch-based Delta Development Group.
Amsterdam-based Prime Pitch Asset Management has completed the purchase of the Karavelle Quartier mixed-use scheme in the eastern German city of Rostock. The vendor was Dutch-based Delta Development Group.
Given its size and geographical location, PropertyEU has estimated the price was around €35 mln.
Karavelle Quartier is located in the centre of Rostock and was completed in 2011. The property provides 17,000 m2 of lease area, comprising retail, a nursing home, offices and a parking garage with 400 spaces.
Prime Pitch carried out the transaction on behalf of a small group of professional investors, including some wealthy families.
The property is let to leading tenants on longer term leases. The retail component includes a full-range Edeka supermarket , discounter Lidl, drugstore chain Rossmann, a pharmacy and several smaller shops.
The office space is fully leased to Telefonica, Randstad and A-rosa Flussschiff. The nursing home with 133 rooms is let for 20 years to Renafan, a Berlin operator of 4,500 nursing rooms in Germany.
The car park is leased to the city of Rostock. The property was developed by Delta Development Group and built by Kondor Wessels Bau Berlin.
Prime Pitch said that the investment was in line with investor demand for stable, predictable cash flows: the investment is characterised by longer-term leases (10 -, 15 - and 20-years), a strategic location in a developing area and a conservative capital structure. The investment horizon is 10 years.
An investment loan was provided by German financier HypoVereins Bank.
Aside from the acquisition, Prime Pitch structured the private placement and will also be responsible for the asset management. PWC has advised on the fiscal restructuring.
Property advisor Van Gool Elburg Vastgoedspecialisten acted fro Delta Development.
