FHH spends EUR 62m in mixed-use asset in Freiburg

German closed-end fund manager Fondshaus Hamburg (FHH) has acquired a mixed-use development project in Freiburg, Baden-Württemberg, Germany from local developer Unmüssig Baden for around EUR 62.5 mln. The property will be transferred to a new closed-end fund to be marketed to investors in the second quarter of 2011, FHH said in a statement.

The asset, offering a mix of residential and retail space, is centrally located near the University Hospital. On completion, it will offer around 200 apartments across 14,000 m² of total space as well as services and retail facilities for a total of 11,000 m². Parking facilities for 760 cars are also planned.

The scheme is partially pre-let to a number of retailers including Rewe. Construction is expected to start in the short term.

'Housing and retail properties are currently the two most interesting segments for real estate investors,' said managing director Angelika Kunath.