Principal Financial Group’s real estate business Principal Real Estate has acquired development project in the care property sector for its Special AIF Principal Care Invest I from Confirmus GmbH. The parties have agreed not to disclose the purchase price.
The acquisition is a care home in development, situated on a ca. 4,000 square metre site at Forellstrasse 44, Herne. Alongside 80 inpatient beds, the development comprises a meeting centre for the Johanniter-Unfall-Hilfe’s sheltered housing, as well as an Italian restaurant and an ice-cream parlour with outside seating. The lettable area totals around 5,100 square metres. Completion is scheduled for summer 2021.
In the same location opposite the Schloss Strünkede Park, the fund had already acquired the “Seniorencampus Herne-Baukau” in 2017. As with this property, protea care GmbH will be the long-term tenant. The average lease term across the development will be around 23 years.
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“Because of the excellent work and decades of expertise of the operator protea care and the Johanniter-Unfall-Hilfe, we decided to seize the opportunity to acquire the final expansion of the campus with a second care facility,” says Paul H. Muno, Managing Director of the Principal Real Estate Spezialfondsgesellschaft mbH.
Law firm DENTONS Europe LLP advised the purchaser on the legal aspects of the transaction. Arcadis Germany GmbH carried out the technical due diligence. Terranus GmbH, of Cologne, also acted as consultants.