Union Investment sells shopping centre to DeAWM

After a 10-year holding period, Union Investment has sold the Allee-Center retail property in the west German town of Remscheid to Deutsche Asset & Wealth Management (DeAWM).

The property was sold for around €140 mln. It had been held by Union’s open-ended real estate fund UniImmo: Deutschland for 10 years.

Built in 1986 and fully refurbished and expanded prior to acquisition by Union Investment, Allee-Center is located in Remscheid town centre with direct access to the pedestrian zone. It comprises some 25,000 m2 of retail space let to around 100 specialist shops, including Saturn, H&M, C&A and a Real hypermarket. The centre provides 921 parking spaces.

‘German shopping centres remain very attractive to both German and international investors. This creates an ideal opportunity to dispose of properties in line with the requirements of our fund strategy,' said Henrike Waldburg, head of shopping centre investment management at Union Investment.

'Allee-Center in Remscheid offers further potential and is an excellent addition to the grundbesitz europa portfolio,' said Ulrich Steinmetz, managing director in the property funds division of Deutsche Asset & Wealth Management.