Publity AG, an investor and asset manager focused on office real estate in Germany, has sold St. Martin’s Tower, located in Frankfurt, to a joint venture between Barings, one of the world’s largest real estate investment managers, on behalf of institutional investors and the listed Coreo AG, for a pan-European core investment strategy.
The transaction is expected to close in 2019. Through this deal, publity is realising the second profitable sale of a property from its own portfolio.
Publity acquired the St. Martin Tower with a lettable area of approximately 26,000 square meters in April 2019, through its subsidiary publity Investor Gmb.
The office complex is almost fully let with high-rent tenants and is in a prominent location in the West of Frankfurt. The property consists of two interconnected buildings, the 18-story Tower and the 7-story Wing. The property also has 397 car parking spaces.
“The sale of St. Martin Tower underpins our wellfunctioning and strong network and shows that we are able to conveniently acquire properties and leverage on the market at a lucrative rate with a flexible transaction approach. The fact that we sell the property to such a well-known investor as Barings also speaks for the quality of the property and our know-how in the choice of location,” said Thomas Olek, CEO of publity.
“We are very pleased that we were able to acquire this first class property in the West of the City through an offmarket transaction from publity. It perfectly complements the existing European portfolio of our investor. We have identified further upside potential in the property as well as in the location, which we intend to realize over the next years,” said Christoph Wittkop, Managing Director and Country Head Germany – Barings.
“By joining with such a significant real estate investor as Barings, we are pleased to be able to acquire and jointly develop this prominent property in Frankfurt. This type of joint investment into buildings like this diversifies our direct investment strategy in a professional way,” said Marin Marinov, CEO of Coreo AG.