Publity AG has agreed to the sale of St. Martin's Tower located in Frankfurt. The property is being purchased in a joint venture between Barings, 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. The office scheme consists of two interconnected buildings, the 18-story Tower and the 7-story Wing, and comprises 26,000m². The asset benefits from a parking facility for 397 vehicles and is almost fully let with high-rent tenants. The purchase price was not disclosed.
Thomas Olek, CEO of Publity, commented: "The sale of St. Martin Tower underpins our well-functioning 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. The transaction is another milestone in our successful development and we will use the proceeds from the sale for new real estate acquisitions."
Christoph Wittkop, Managing Director and Country Head Germany – Barings, added: "We are very pleased that we were able to acquire this first-class property in the West of the City through an off-market 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.”
Marin Marinov, CEO of Coreo AG, said: "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.”
