The planned liquidation of land reserves in Berlin by CA Immo is gathering pace: in addition to the transactions worth around 25.2 million reported on July 16, further sales with an approximate volume of 24 million have been contractually agreed.
The Groth Group is investing in a second parcel of land in Berlin, and another investor has come forward for a plot of land in the Berlin district of Europacity.
The sale of a second real estate package to the Berlin-based Groth Group has been finalized: the company, which specializes in residential properties, is taking control of additional development areas with strong potential for residential construction.
The second package comprises plots with a total surface area of just under 88,000 m² and includes a parcel of land in the Europacity district (which was developed by CA Immo) and the development zone on Lehrter Strasse, north of Berlin's main station.
Another plot spanning 2,800 m² in the Europacity quarter has been sold to Michael Haentjes, chief executive and principal shareholder in the listed entertainment group Edel AG. An artistic cube with gross floor space of roughly 6,500 m² will be created on the site over the next three or four years. The building will accommodate the book publishing companies of Edel AG, which are located across Germany, thereby providing a base for various interested publishers and other related organizations.
According to Dr. Bruno Ettenauer, Chief Executive Officer of CA Immo, "By selling these plots of land, we are exploiting the massive potential that exists in Berlin at this time and contributing greatly to our earnings. In line with our strategic objectives, we are significantly reducing the proportion of land reserves in the portfolio while benefiting from the positive market situation in the residential sector in particular."
Generating value through land development, plot sales and selective in-house developments
Development is moving rapidly in the Europacity district, which is close to Berlin's main station and government quarter. CA Immo pursues its own developments in commercial usage categories only, and especially the office and hotel sectors. Amongst other things, CA Immo will complete the new German headquarters of the oil company TOTAL this year in its capacity as project sponsor and investor.
Similarly, CA Immo is acting as project sponsor and investor for the InterCityHotel, which is also under construction at present. Furthermore, the company increases the value of land reserves by acquiring building rights and utilizes them by means of sales or joint venture developments. Taking the latest transactions into account, seven other companies have acquired plots of land in the Europacity area with a view to realizing their own development projects.
Source: CA Immo