Quantum acquires Munich office complex for EUR 130m

Hamburg-based Quantum Immobilien has acquired an historical building complex in Munich's city centre from real estate lender Hypo Real Estate Bank for EUR 130 mln. The five-building property is located on Ludwigstrasse and Von-der-Tann-Strasse in the Maxvorstadt district in the immediate proximity of the Siegestor, Odeonsplatz and the Englischer Garten. Hypo Real Estate Bank is the main tenant of the property.

The six and seven-storey buildings, totalling 18,750 m² of space, comprises offices as well as apartments and space for up-market retail outlets. Around 140 parking spaces as well as storage space for the tenants’ use can be found over two basement floors. Quantum said that most of the office space - about 10,000 m² - will be gradually re-let and comprehensively modernised in consultation with the future tenants.

'The demand for new office space particularly in extremely good locations in Germany’s metropolitan areas remains consistently strong. We see clear potential for increasing value with the planned modernisation and re-letting of this top location in Munich’s city center,' said Philipp Schmitz-Morkramer, member of Quantum's management board.

The buildings with their courtyards create an independent 'quartier' and are under protection as a listed group of buildings. The buildings on Ludwigstrasse 6 to 10 were erected between 1961 and 1967 as the reconstruction of a plan by the architect Leo von Klenze. By 1830 he erected the building on Von-der-Tann-Strasse 2 which has been put on the list of monuments under preservation.

Quantum Immobilien was founded by Frank Gerhard Schmidt and Philipp Schmitz-Morkramer in 1999 as an independent real estate group combining expertise in project development, institutional investment products and the management of real estate investments. The group’s activities focus on metropolitan areas in Germany. The company's project development division has completed projects with floor space in excess of 450,000 m² and total investment costs of more than EUR 1.5 bn have been implemented. From the end of 2005 until today assets under management in the area of investment products have increased to around EUR 450 mln.