Internos to buy Commerz Real fund unit

European real estate investor Internos is acquiring Commerz Real's special real estate fund business for institutional investors.

The two companies have signed a contract for the transfer of the investment company Commerz Real Spezialfondsgesellschaft (CRS).

The real estate portfolio of the nine funds managed by CRS includes 68 European office, retail, hotel and logistics properties valued at €1.6 bn.

The acquisition is being carried out by an Internos subsidiary which plans a massive expansion of its German business and investors base.

Investments in the German market already account for the majority of Internos’ €1.9 bn in real estate assets under management. At the same time, Commerz Real reaffirmed its commitment to the institutional investment business.

The sale is subject to approval by the German Supervisory Authority for Financial Services (BaFin). The two parties agreed not to disclose the sales price and other transaction details.

Not included in the sales transaction are the stakes held in Amprion (the former extra-high voltage network of RWE) that an investor syndicate acquired under the aegis of Commerz Real in 2011. These shareholding interests will remain under the management of Commerz Real Group.

Commerz Real said that it continues to consider infrastructure an attractive asset class and intends to continue to conduct transactions in the sector.