M7 Real Estate's European Real Estate Investment Partners I fund is now fully invested, following the acquisition of 23 retail assets in Germany for €43 mln.
The transaction marks the fourth acquisition for EREIP I and takes the retail property fund's total investment volume to €90 mln, the pan-European investor and asset manager announced on Monday.
The acquisition comprises of two portfolios and two individual properties, including a portfolio of 18 retail properties totalling 40,500 m2 across Germany from a syndicate of sellers. The tenant mix includes Rewe, Metro, KiK, Dänisches Bettenlager and Fressnapf. M7 said that the assets provide significant opportunity to drive income asset management initiatives including the expansion of buildings and numerous lease extensions.
The remaining five assets include a portfolio of three properties across 4,250 m2 from Patrizia Immobilien in Baden-Wurttemberg and Rhineland-Pfalz, and two supermarket properties in Lower Saxony and Hesse, both of which are let to Germany’s largest supermarket corporation Edeka.
EREIP I was launched in 2015 to focus on value-add convenience retail opportunities and has invested in 31 properties totalling 90,000 m2 of accommodation.
'The final close for EREIP I is a strong endorsement of our ability to raise capital and use our pan-European platform to successfully identity, acquire and manage opportunities to build a portfolio of income-producing assets to which we can add further value,' said M7 CEO Richard Croft. 'The pure retail focus of the fund is demonstrative of M7's capabilities as a multi-sector investor and asset manager.'
Simmons & Simmons acted as real estate legal advisors to M7 EREIP I. Gleeds carried out the technical due diligence and Ambiente Environmental the environmental due diligence.
