Privately-held real estate investment management firm Meyer Bergman has acquired a majority interest in a large housing portfolio in Germany, marking its first residential-led deal in the country.
Financial details were not disclosed.
The interest in the 72,000 m2 portfolio was acquired from a joint venture between a wholly owned subsidiary of Starwood Global Opportunity Fund XI, managed by the Starwood Capital Group, alongside StepStone Real Estate and Round Hill Capital.
The majority of the acquired portfolio, which consists of 800 residential and 125 commercial units spread over 60 properties, is concentrated in the centre of Frankfurt. Meyer Bergman said it would look to unlock further value through active asset management.
As well as representing Meyer’s first residential acquisition in Germany, the deal is also its first since 2002 in Frankfurt.
Meyer's German portfolio mostly comprises retail, office and mixed-use properties located across Frankfurt, Berlin, Potsdam and Hamburg.
Meyer CEO Marcus Meijer said: 'Today’s acquisition underlines the strength of our German team and highlights the benefits of strong local market knowledge to secure opportunities where we can add value and deliver strong returns for our investors and clients.
'Europe’s continued urbanisation, focused around a number of core city regions, will continue to drive demand for high-quality residential space, which remains supply-constrained in many markets.'
Through their joint venture, Round Hill Capital, Starwood Capital Group and StepStone Real Estate acquired and assembled the residential property portfolio from private investors, enhancing it over time.
Meyer Bergman is currently involved in a number of mixed-use developments with a strong residential component in London, Milan and Monaco.
Henning Zimmermann, managing director of Germany at Meyer, said: 'Frankfurt is the leading business destination in Europe and has strong potential to attract new investors and corporate occupiers post-Brexit. The city’s commercial success is a key driver of demand for quality housing in the city.
'This acquisition builds on our expansion into urban mixed-use schemes with a strong residential element and we will be drawing from our expertise in residential asset management to help drive value.'
Starwood Capital Group, StepStone Real Estate and Round Hill Capital were advised by Simmons & Simmons, E&Y and PWC.
Meyer was advised by Bögner, Hensel & Partner, CBRE, PWC, Arcadis and Loyensloeff.
