Berlin-based The Grounds Real Estate Development has sold two student accommodation buildings in Leipzig and Magdeburg comprising a total of 319 units.
Financial details were not disclosed.
The property in Leipzig has more than 138 residential units and a total usable area of 3,136 m2. It is centrally located in the Connewitz district, which is popular with students. The student accommodation building was sold to an institutional investor as part of a global sale; closing took place in late February.
The last of the apartments in the Lenné Quartier student accommodation building in Magdeburg planned by The Grounds were also sold in late February. Construction of this project with 181 apartments has already started, with completion expected in the fourth quarter of 2022.
The sale took place through individual marketing to private investors. The property is located in the immediate vicinity of Magdeburg’s Old Town.
Jacopo Mingazzini, a member of the management board of The Grounds, said: 'The successful sale of both of the buildings in Leipzig and Magdeburg confirms that our concepts are correct.
'Future users will benefit equally both from the specific qualities of the properties with regard to facilities and customising, and from the attractive locations within the two university towns, which are also political, economic and cultural centres.'
Individual marketing of a property in Berlin Pankow that was acquired for privatisation in late 2021 also began at the end of February. The Grounds expects that the majority of the apartments will have been sold by the end of the current year.
The Grounds management board member Arndt Krienen added: 'With the two projects in Leipzig and Magdeburg, we have proved the performance efficiency of The Grounds as a project developer.
'Through the recent successfully concluded placing of our convertible bond, we also created the conditions required to expand our development pipeline in the coming months.'
