ÄVWL invests in prime Stuttgart property through Hines

Ärzteversorgung Westfalen-Lippe (ÄVWL) is investing in a prime real estate asset in Stuttgart through Hines.

The Second Kronprinzbau building in the German city includes office and retail space.

Hines said it bought the property for a fund in which it is co-investing with ÄVWL.

Andreas Kretschmer, director at the ÄVWL, said: “For us, such a significant asset in the heart of the city is the optimal subsequent investment in immediate proximity of this prime location.

“Thus another core asset was added to the fund, which, especially in the long run, is a secure investment in one of Germany’s largest economical metropolis.” 

The purchase follows the acquisition of Kronprinzbau 1 from Credit Suisse in 2014.

The investment of Kronprinzbau 1 and 2 is intended to remain a strategic long-term part of the Hines-managed fund.

Hines Immobilien will asset manage the 8,500sqm property, which was sold by a closed-end fund managed by Deutsche Fonds Holding.