Hamborner REIT has purchased an office in the German city of Cologne for €49 mln, reflecting a gross initial yield of 5.6%.
The modern office building, dubbed O3, comprises 26,500 m2 of rental space and is located in the Ossendorf district. The principal tenant is NetCologne and the average remaining lease term across the building is 6.7 years.
The purchase follows a successful capital increase in September, which created gross isuance proceeds of €166.5 mln, and the acquisition of the DOMI office building in Dortmund.
The transfer of ownership of O3 is expected to take place in spring 2017.
Tresono Family Office in collaboration with Loschelder Rechtsanwälte acted for the vendor, who was not named.
BNP Paribas Real Estate was a broker in the transaction.
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