TH Real Estate raises €100m for German fund

TIAA Henderson Real Estate (TH Real Estate) has raised €100 mln at first close for its Core German Retail Fund (CGRF).

The fund is targeting a total investment volume of €400 mln, for core and core-plus German retail assets. It has a ten year life and expected loan to value of 40-45%. A second closing is planned for Q1 2015.

The fund has also completed its first purchase: an incomplete 11,000 m2 retail site in Bruchsal, southern Germany.

The anchor tenant is German food retailer REWE, with completion due in the summer of 2015.

‘The Core German Retail Fund seeks assets in established, dominant locations across German metropolitan areas and medium-sized towns. Target properties have a gross rental area of at least 7,500 m2,’ said fund manager Thilo Wagner. ‘Asset management will play an important role in the process.’