CBRE Investment Management has agreed to acquire a circa €360 million residential portfolio in Berlin, Germany, providing circa 1,200 residential apartments, from Vonovia.
The entire 91,275 sq m multi-family residential portfolio, all newly built or delivered in stages with full completion by mid-2024, comprises 16 buildings located in three different locations in Berlin.
The portfolio is of modern design, high quality, and strong sustainability credentials. All apartments have a balcony or terrace, underfloor heating, and local district heating is used to meet heating and hot water requirements. The apartments are all within walking distance of local amenities and transport hubs offering excellent connectivity to Berlin’s City Centre.
Sebastian Ehrhardt, Head of Transactions Germany at CBRE Investment Management commented “We have been provided a fantastic opportunity to add to the high-quality residential portfolio that we acquired earlier this year. This core portfolio aligns with two of CBRE IM’s investment strategies and meets their affordability, sustainability, and investment requirements. Recognising that we are in a unique investment window, we remain focused on unlocking further opportunities across Germany.”
Marius Schöner, EMEA Head of Residential Operator Division at CBRE Investment Management added: “This transaction reflects our ability to leverage our in-house capabilities and expertise to secure compelling opportunities, as we continue to scale our residential platform. We have moved at pace and closed this deal, in challenging market conditions on behalf of a number of capital sources.
With a significant supply deficit of new homes in Berlin, the occupier demand for multi-family homes is high. We expect that the buildings still to be completed will quickly lease up and that we achieve strong occupancy levels across the portfolio.”
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