AEW Europe announced that its pan-European value-added fund European Property Investors (EPI) Fund has sold via its investment vehicle, EPI Walk Germany Sarl, a portfolio of 11 German high-street shops to a fund represented by AIK (APO Immobilien-Kapitalanlagegesellschaft mbH), a pharmaceutical industy pension fund and an equity purchaser, for just over 58 million at a gross initial yield of approximately 6.5%.
The 17,242 m² portfolio is located across Germany in Berlin, Bremen, Dortmund, Freiburg, Gera, Hagen, Halle, Ingolstadt, Nürnberg and Mannheim. Major tenants in the portfolio include Salamander, E-Plus, Depot (Gries Deco), Framode and Yves Rocher.
Merrick Marshall, Head of Asset Management (UK) at AEW Europe said "This transaction represents the successful realisation of our asset strategy for this portfolio and demonstrates that there is still healthy demand for well-let retail property investments in prime locations throughout Germany." Ric Lewis, Chief Executive Officer of EPI Fund adviser, Tristan Capital Partners, said "We have afforded ourselves the time to sell well and we will continue to sell opportunistically. This sale is accretive to our fund's returns and exceeds our targets in our portfolio business plan."
Source: Bellier Financial