Deutsche Bank's DWS asset management division has revealed it invested almost €400 mln in Dutch residential assets in the first six months of the year, on behalf of its German retail and institutional real estate funds.
Comprising 1,881 units, four separate acquisitions were undertaken in support of its strategic push into the European residential sector. In total DWS’s Dutch portfolio has increased to 4,500 residential units.
'The Netherlands remains strategically important for DWS given its continued growth and favourable market fundamentals,' said Martin Weikamp, head of real estate transactions, Northern Europe at DWS.
Weikamp added: 'These latest acquisitions, even during the adversities resulting from the Covid-19 pandemic, are a testimony of our ability to execute on our strategy and to acquire good quality, affordable residential assets with strong rental growth potential focused on targeted hands-on asset management initiatives.'
DWS has built a Dutch portfolio holding €1.7 bn in assets under management as of July 2020 with its strategic partner Rubens Capital Partners, its Netherlands-based asset and investment manager since 2016.
Comprising a mix of regulated and liberalised units, the acquired portfolios are situated in the core Randstad area, with some exposure to Brabantse Stedenrij, the ‘Brabant City Row’. Consisting of seven properties, it includes the forward purchase of two neighbouring new build apartment blocks, and over 1,100 fully let residential units in The Hague.
DWS said that all benefit from strong locations, excellent accessibility and rental and capital value growth potential. The deals follow on from the acquisition of a sizable Dutch portfolio in 2018 comprising 12 residential properties valued at circa €265 mln.
'Our positive view on residential reflects the defensive nature of the sector, driven by the specific favourable demand-supply dynamics of the Dutch market,' said Matthias Naumann, chief investment officer real estate, Europe at DWS.
Naumann continued: 'Our strategic investment approach combined with local knowledge enables us to successfully execute on our investment targets. We look forward to further capitalise on the potential of the Dutch market.'
