Union Investment fund sells three German properties

German fund manager Union Investment has announced the sale of three properties on behalf of its DEFO-Immobilienfonds 1 special fund. The three individual transactions amount to around EUR 20 mln in total, with the sale price being higher than the most recent valuation in all cases.

'The strategy for the fund is to sell older and smaller properties. We are reinvesting the proceeds in existing office, retail, hotel and logistics properties with good occupancy rates and a lot size of EUR 15 mln upwards,' said Christoph Schumacher, a member of the management team at Union Investment Institutional Property. Alongside Germany, investments in other core European countries are also considered.

The properties were purchased for DEFO-Immobilienfonds 1 between 1992 and 1995.

The office building at 95 Hammer Straße in Münster was one of the disposals. The property, which is almost fully let, offers rental space of around 3,259 m² and has the Wilhelms University of Münster as its main tenant.

Also sold was the office property at 33-39 Peterstraße in Nuremberg. The 3,200 m² of office space are fully let to the Deutsche Angestellten Akademie. The third property sold was the office and commercial building at 71 Kurfürstendamm in Berlin, where the main tenant is the K.I.T. Group. Built in 1911 and nearly fully let, the building comprises a total of 4,587 m² of rental space.

Union Investment is hosting its 3rd Sustainable Investment Conference at the EXPO REAL in Munich next October. Click on the link below for more details