CCP IV, a core-plus fund advised by pan-European real estate investment manager Tristan Capital Partners, has sold its interest in an office complex consisting of four buildings in the heart of Berlin Mitte's office district, for around €95m. The interest in the office complex was primarily acquired by Caleus Capital Partners, the investment management platform of the Caleus Group. Caleus acted as Tristan’s original co-investor and local asset management partner when the building was acquired in December 2015.
The office complex is located in the Schutzenstrasse district of the capital, less than 200m from renowned Checkpoint Charlie on Friedrichstraße. Dating back to 1998, each building’s facade was designed by renowned architect Aldo Rossi and was one of his last projects. Today, the complex is comprised of c. 18,000m² of office and retail space.
Jean-Philippe Blangy, Head of Asset Management, at Tristan said: “This marks another successful sale in Berlin following the disposals of Jannowitz Centre, Rathaus Mitte, Schonhauser Allee, and Schicklerhaus over the last few years, for almost half a billion euros. All these investments have employed the same discipline; capitalising on robust rental growth driven by economic growth and the migration of businesses to Berlin, which have boosted take-up for quality, well-located office space in this supply-constrained market. These fundamentals make Berlin highly attractive for institutional investors, offering the potential for further rental growth in the medium term.”
Ali Otmar, Senior Partner and Deputy Head of Investments at Tristan, said: “Germany remains a strategically important market for us and Berlin’s importance continues to grow internationally, with large global institutions waking up to the city’s unique supply and demand imbalance. As we expect this strong momentum to continue in markets outside of the gateway cities, we are concentrating on good office properties with upside potential in large mid-sized cities such as Berlin, Munich, Frankfurt and Hamburg.”