AXA Investment Managers - Real Assets (“AXA IM - Real Assets”), the leading real estate portfolio and asset manager in Europe, announces it has completed development of its residential scheme, in Dresden, Germany and acquired a similar scheme in Arnhem, the Netherlands, both on behalf of its German residential fund, dedicated to professional investors only.
The Dresden complex comprises 9,600m², incorporating 135 residential units, ranging in size between 40 and 130m² and spread across nine buildings, representing a total lettable area of 12,900m², along with 140 underground car spaces. The complex is currently more than 70% let to tenants on new agreements. Standard features include underfloor heating throughout, parquet flooring in living areas and roller shutters in bedrooms. The complex is located in Striesen, Dresden’s most populous district and benefits from excellent local amenities, including a number of elementary and secondary schools and good transport links.
The Arnhem building comprises 3,000m² of lettable new-build space, comprising 36 apartments, spread over five floors, with unit sizes of 78 to 117m². It is located adjacent to the city centre, in the former industrial area of Arnhem, and offers a wide range of local amenities, along with excellent public transport and road access. The surrounding area is set to undergo a complete redevelopment over the next 8-10 years, creating a neighbourhood of c.800 residential units, studios and multi-functional retail, which is expected further boost the appeal of this investment.
Both residential complexes have been finished to the latest sustainability standards, emphasising the importance placed by AXA IM - Real Assets on fully integrating sustainability practices. By 2030, AXA IM - Real Assets is targeting 75% of total direct property assets under management to be certified with reputable sustainability labels.
Matthias Leube, Regional Head of Asset Management & Transactions, at AXA IM - Real Assets in Germany, commented: “The new-build residential market is a fast growing real-estate asset class in Germany, and one that our local teams have identified as offering significant potential for generating strong returns to our institutional investors. Started in 2014, we are delighted that the Dresden development has now been completed to the highest standards; this is another strong addition to our German residential fund.”
Alphons Spaninks, Local Head of Asset Management & Transactions at AXA IM - Real Assets in the Netherlands, commented: “Arnhem is just one of a number of cities in the Netherlands that offers significant real estate investment potential. The relative low risk/return profile offered by high-quality multi-family housing is an attractive allocation for institutional investors and this, coupled with underlying market conditions, place the Netherlands as a key market for AXA IM - Real Assets moving forward.”
