Real IS, the property arm of German lender BayernLB, has acquired an office property in Vienna, Austria, from German investment giant Commerz Real.
Financial details were not disclosed.
The almost fully-let property is situated in the TownTown business park and comprises around 5,200 m2 of space. It is 99.5% occupied by tenants 'with a strong credit rating', according to Real IS, including the Federal Administrative Court (BVerwG), Wiener Städtische Versicherung and the City of Vienna.
The firm acquired the asset for its open-ended RealISinvest Europa fund for private investors.
Built in 2008, the office is located at Thomas-Klestil-Platz 2 and has five upper storeys and two basement floors.
Axel Schulz, global head of investment management at Real IS said: 'Vienna is a stable office market displaying little to no volatility with a vacancy rate which has been consistently low for decades and currently stands at less than five percent.
'The contemporary office building with its three creditworthy tenants fulfils the stringent purchasing criteria of RealISInvest Europa and delivers a steady cash flow in the interest of our investors also in uncertain times.'
The property in Vienna marks the fifth acquisition since the fund was launched twelve months ago. It has also purchased assets in Germany and the Netherlands to date.
Otto Immobilien, Knight Frank's partner in Austria, acted in a brokerage capacity during the transaction.
Real IS received legal advice during the acquisition from Grama Schwaighofer Vondrak Rechtsanwälte, technical advice from Fritsch, Chiari & Partner ZT GmbH and advice on tax matters from TPA.
