KKR and Vision Group have acquired a residential portfolio of 163 units in Dingolfing, Lower Bavaria.
It marks the first transaction since Vision and KKR last month agreed on a new strategic partnership for residential property investments.
The newly acquired apartments have a total leasable area of approximately 9,700 sqm.
The two- to four-room apartments have the potential for value enhancement through creating additional living space and digital solutions, including digital key management, intercom systems and touchpoint displays to notify tenants of upcoming maintenance work.
Niclas Wallrafen, COO and Partner of Vision Group, said: “Due to the proximity of the apartments to Munich and Regensburg, as well as the attractiveness of Dingolfing, we see substantial potential in further developing the assets. As our first investment in Bavaria, we are widening our regional footprint and expanding our growth strategy.”
The acquired residential portfolio in Dingolfing is located in the immediate vicinity of the Isar river and the Dingolfing reservoir. Moreover, the apartments are in close proximity to important regional economic hubs and manufacturing sites, with Dingolfing airport in immediate vicinity. The city is located about 100 km northeast of Munich and 80 km from Lake Chiemsee.
Last month, Vision Group, the Mannheim-based residential real estate investor, and KKR announced the formation of a strategic partnership. Together, both parties plan to provide real estate units as investment opportunities to private investors, family offices and institutional investors.
Vision and KKR plan to purchase residential properties and invest in them with the intention to enhance the quality of living for tenants through operational upgrades while also reducing their energy footprint.