Pembroke snaps up landmark Munich mixed-use asset

US investor Pembroke Real Estate has announced the acquisition of one of Munich's most prestigious mixed-use properties, known as Maximilianhöfe, from Avestus Capital Partners. The financial details were not disclosed. However, the asset is believed to have been sold for a value between EUR 250 and 300 mln. Bank Landesbank Hessen-Thüringen (Helaba) provided debt finance for the deal.

This is the third Munich acquisition completed by Pembroke in the past 16 months, after having acquired Altstadt Palais in July and Lorenzistock in January 2011.

Located on Maximilianstrasse, Munich's exclusive luxury retail street, the property comprises retail, restaurant and office space in two buildings - the 8,674 m² Bürkleinbau and the 11,573 m² Maximilianhof. Maximilianhöfe is located in the heart of Munich’s Central Business District. The scheme was constructed in 2003 on one of the last remaining sites in the area to be released by the Free State of Bavaria. 'Maximilianhöfe is a strong addition to our global portfolio where the property’s location, quality and status is an ideal fit with Pembroke’s long-term investment approach,' said Johannes Haug, senior vice president and managing director for Europe at Pembroke Real Estate.

'Maximilianhöfe is an exceptional asset and has performed very well during our ownership. Having managed to significantly improve the profile of the tenant base, we are taking advantage of strong investor demand for high-quality assets like Maximilianhöfe in the current market,' said Fergus Farrell, principal of Avestus Capital Partners.

Pembroke acted as advisor to the purchasers in the acquisition, which was structured as an acquisition of the shares of the company owning Maximilianhöfe. CBRE acted for Avestus Capital Partners.