Immofinanz takes control of Cologne mixed-use development

Immofinanz Group has acquired the remaining stake in the Gerling Quartier mixed-use development in Cologne from co-owner Frankonia Eurobau.

The transaction follows a mutual agreement by the two partners to dissolve their 50:50 joint venture for strategic reasons. The parties agreed not to disclose any information on the purchase price.

Immofinanz said it would provide the remaining investment in the project of around EUR 213 mln as planned with financing from Sparkasse KölnBonn.

‘Since our strategy calls for the sale or full takeover of investments that cannot be consolidated, we welcome the readiness of our partner Frankonia to sell its stake in the Gerling Quartier after the successful completion of project planning and the issue of building rights’, commented Eduard Zehetner, CEO of Immofinanz Group.

The Gerling Quartier is the third-largest inner-city quarter development project in Germany. Due for completion at end-2014, it will house 139 condominium apartments plus 45,000 m² of office and 94,000 m² of other commercial areas.