New York-based alternative investment manager Angelo, Gordon & Co. has sold three German multifamily portfolios consisting of nearly 5,000 residential units with total rentable space of roughly 300,000 m². The buyers across two transactions were Proprium Capital Partners together with Forte Group as well as Velero Partners. The purchase price has not been disclosed. The majority of the properties are in the German state of North Rhine-Westphalia, primarily in good residential locations in the cities of Dortmund, Bochum and Duisburg.
Angelo, Gordon assembled the distressed properties over the last four years. At the time of their acquisitions, the portfolios were vastly underperforming and were held in inefficient and undercapitalized structures. Angelo, Gordon completed overdue capex works, investing approx. €18m into renovation of the units.
“We look for opportunities across all use types. In the case of multifamily residential there is a fundamental demand/supply imbalance and strong demand for stabilized assets, which provides an attractive backdrop for potential investments in the value-add segment, that might offer significant potential for valuation appreciation through active management, capital investments, and repositioning,” explains Stefan Doerffler, Director and head of Germany at Angelo, Gordon.
The company previously repositioned a mixed-use inner city complex in Düsseldorf before selling it to a German core investment manager at the end of 2016.
