Tristan Capital Partners has acquired a portfolio of 14 properties mainly located in Berlin for the European Property Investors Special Opportunities 3 fund (Episo 3).
Tristan Capital Partners has acquired a portfolio of 14 properties mainly located in Berlin for the European Property Investors Special Opportunities 3 fund (Episo 3).
The purchase of the mixed-use buildings from Germany’s DG Anlage for €117.5 mln is one of three investments worth a combined €327 mln anticipated by fund managers in early 2015, following the acquisition of a logistics park near Bielefeld last week for €31 mln.
Around 85% of the €950 mln raised by the Episo fund at its final close in January 2014 have now either been committed or earmarked for investments under exclusivity, pending a contract agreement.
The portfolio comprises 93,280 m2 of lettable space, more than 75% of it in Berlin, Leipzig or Frankfurt. Offices make up 60% of the 14 assets, while 17% is occupied by retailers and 13% residential assets and other uses. The total vacancy rate is 13%.
Ali Otmar, managing director at Tristan Capital, said: ‘The German market enjoys strong fundamentals and we anticipate that this portfolio with its focus on the larger German cities of Berlin, Frankfurt and Leipzig will deliver attractive returns for our investors through reducing vacancy and harvesting underrent in larger properties located in key cities.’
Clifford Chance acted as legal counsel for EPISO 3 while GFP Real Estate Advisors advised on technical issues. The transaction was brokered by BNP Paribas.
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