International real estate firm Hines has acquired Mariendalsvej 55-57, its second living asset in Denmark, on behalf of its Hines European Core Fund (HECF), for an undisclosed price.
Located in the Copenhagen neighbourhood of Frederiksberg, Mariendalsvej 55-57 covers a total area of 13,901 m2, consisting of two adjacent living properties to include 38 student housing units and 50 residential homes.
In addition, the sites’ retail space of 166 m2 has just been leased by Food Family, meaning the asset is now 100% let.
Simone Pozzato, managing director and HECF fund manager at Hines, said: 'We continue to broaden our exposure to the living sector, driven by the strong fundamentals of some European cities which continue to grow at rapid pace but are severely undersupplied in terms of residential stock.
'Mariendalsvej 55-57 is a very attractive investment due to its prime urban location, strong market fundamentals and its ability to meet the needs of both residents and students.
'It is rare to acquire an existing but modern high-quality scheme in such a prominent location. The Fund will continue to target these type of investment opportunities and the Nordic region offers strong risk-adjusted returns for core investors who have local experts like James Robson and his team present on the ground.'
Completed in 2019, Mariendalsvej 55-57 is located in an affluent residential area close to several higher education institutions, including Copenhagen Business School and the University of Copenhagen.
This acquisition further underlines HECF’s focus on the Nordics following three completed acquisitions in the region during the last two years.
James Robson, senior managing director and country head – The Nordics, at Hines, commented: 'We are very pleased with the acquisition of Mariendalsvej 55-57. It’s a gem of a location and our second living asset in Denmark and once again demonstrates our long-term commitment to the Nordics.
'We believe there is ample appetite for quality living spaces and student accommodation in Denmark that is centrally located with excellent transport and connectivity links, underpinned by ESG and wellness credentials. We will continue to seek out similar living opportunities, on or off market, as we continue on our growth trajectory.'
This acquisition marks HECF’s fifth living purchase, following a recent deal in Dublin and the acquisition of a mixed-use scheme in Cologne, Germany which had a significant residential component.
CBRE advised the vendor on the transaction.
