German asset manager Warburg-HIH Invest has acquired a core high street property in Bremen alongside Quest Investment Partners from Allianz Real Estate.
The deal volume was not revealed. Bremer Carrée, which comprises around 12,000 m2 of space in the city's Obernstrasse prime high-street pitch, is occupied by high-net-worth anchor tenants on long-term leases.
Around 6,700 m2 of the space is destined for Warburg-HIH's Perspektive Einzelhandel: Fokus Geschäftshäuser retail property fund, while 5,300 m2 will be owned by Quest.
'Bremer Carrée perfectly matches the fund criteria, and promises long-term stability of income for our investors,' commented Alexander Eggert, managing director of Warburg-HIH Invest.
Launched by Warburg-HIH Invest Real Estate (Warburg-HIH Invest) in July 2017, the open-ended 'Fokus Geschäftshäuser' special alternative investment fund has a planned investment volume of up to €400 mln in high street retail located in fast-growing cities in Germany.
'The conspicuous five-storey retail property Bremer Carrée is located on one of the most highly frequented locations anywhere in downtown Bremen. Due to its corner location and its standalone building character, it has a high degree of visibility and is easily recognisable. Anchor tenants of the commercial building include the market-leading retailer H&M with its Bremen flagship store and a Rossmann drugstore,' said Hans-Joachim Lehmann, managing director at Warburg-HIH Invest.
Quest said that its share of the building, including a vacant portion covering around 2,900 m2, would undergo refurbishment. 'We intend to boost the inner city of Bremen with a new concept. New labels have the potential to help, not just the building but the entire location regain its prominence and productivity,' said Jan Rouven Künzel, managing dartner at Quest.
Warburg-HIH Invest was advised on legal and fiscal issues by law firm Ashhurst, and by CP Hamburg on technical due diligence.
The seller was advised by JLL and CMS Stuttgart during the transaction.
