Merill Lynch and German firm Colonia Real Estate have teamed up to acquire a mixed real estate portfolio in Germany for about EUR 75 mln. Merill Lynch holds 90% of the joint venture set up for the transaction while Colonia has the remaining 10%.
Merill Lynch and German firm Colonia Real Estate have teamed up to acquire a mixed real estate portfolio in Germany for about EUR 75 mln. Merill Lynch holds 90% of the joint venture set up for the transaction while Colonia has the remaining 10%.
The portfolio, which was acquired from an unnamed German insurer, consists of 29 commercial and residential properties with a combined area of roughly 69,000 m2. Of this, 40% is residential and 60% commercial real estate. The majority of properties are located in Munich, Berlin, Hannover, Frankfurt, Dusseldorf and Cologne.
Colonia asset management unit CRE Resolution acted as the advisor on the transaction for ML-GPI, the Merrill Lynch arm through which the investment bank is one of the most active investors on the German real estate market. CRE Resolution will also take over the asset management of the portfolio. The two partners said they intend to optimise the return on the portfolio acquired by reduced vacancy rates and adding value to assets.
