Frankfurt and Munich accounted for half of the real estate investment volume of EUR 11.9 bn in the seven main German cities in 2011.
Frankfurt and Munich accounted for half of the real estate investment volume of EUR 11.9 bn in the seven main German cities in 2011.
Jones Lang LaSalle said the volume for the big seven came to EUR 11.9 bn, 21% up on 2010 and about 50% of the total German real estate investment volume of EUR 23.5 bn last year.
Frankfurt saw a 69% rise in volumes compared to 2010 to EUR 3 bn, while volumes in Munich rose 130% to EUR 2.9 bn. Stuttgart, a much smaller market, saw its volumes increase 15% year-on-year from EUR 330 mln to EUR 380 mln, according to JLL.
Investment volumes in Hamburg remained stable at EUR 2 bn, up 1% on the year before, while Berlin (-19%); Dusseldorf (-26%) and Cologne (-7%) saw declines.
Transaction data compiled by PropertyEU Research and supplemented by JLL show the two largest transactions in Frankfurt, Germany’s financial capital, involved bank towers.
Deutsche Bank sold its Duppleturm (twin towers) complex to a vehicle managed by the bank’s DWS closed-end fund unit for EUR 600 mln. Around the same time Commerzbank sold Silberturm, an office tower Commerz inherited from its takeover of Dresdner Bank in 2009, for EUR 400 mln. The buyer was a consortium led by IVG.
TIAA-CREF was behind the largest transaction in Munich. The US pension fund asset manager acquired the PEP mall in the city during the fourth quarter for more than EUR 400 mln.
The second largest deal involved Bayerische Vereinsbank selling its headquarters in Munich to German development and asset management group Bayerische Hausbau for EUR 200 mln. The bank will remain a tenant in the building until redevelopment on a new office at Arabellapark is ready.
