Tristan Capital, Cornerstone sell Berlin office asset to KGAL

Tristan Capital Partners is selling a Berlin office building for its European Property Investors Special Opportunities (EPISO) 3 fund.

Tristan and partner Cornerstone Real Estate Advisers said the 32,000sqm asset was being sold to Germany’s KGAL Group for €79m.

The Jannowitz Centre, in Berlin’s central Mitte district, was Tristan’s first purchase for EPISO 3 in 2013.

Jean-Philippe Blangy, managing director of portfolio and asset management at Tristan, said a shortage of prime office space and strong underlying occupier demand supported robust rental growth, which in turn underpinned pricing for similar core assets.

The State of Berlin, DAK health insurance and Techniker Krankenkasse health insurance are the building’s anchor tenants.

Separately, Cornerstone has bought the ParkView Business office and retail building in Essen for the Stuttgarter Immobilien-Spezialfonds (SIS) Fund.

SIS, launched in 2012 for the Stuttgarter Versicherungsgruppe, invests in retail and office property.

As reported last year, Cornerstone took on €1bn in office and retail assets, as well as five offices and 38 staff in Germany after buying Pamera Asset Management.

Cornerstone bought Pamera to launch real estate products in Germany for domestic and international investors, focusing on core and value-added markets.