Catella Residential Investment Management (CRIM) has acquired development of 100 apartments and a supermarket in Braunschweig in Lower Saxony, as well as a senior living property in Dresden, for a total of about €30m.
The acquisition in Braunschweig is part of a 20,000m² new city quarter development on the Berliner Straße / Kurzekampstraße, about 3.5 km northeast of the old centre. The turnkey project consists of three buildings, which will accommodate classic liberalised rental market multi-room apartments and also space-optimised two-room homes, as well as 27 social housing units. All the properties will be fitted-out with high-quality interiors and appliances. A leading organic supermarket chain will occupy 750m² of the ground floor. CRIM acquired the Braunschweig project for just under €22m under a separate mandate for a South German pension plan within its Institutional Investment Partners Fund (2IP).
Matthias Bursi, Catella Fund Manager European Residential, said: "Catella Residential’s first acquisition in Braunschweig is an extension of our strategy to invest beyond the main European gateway metropolises to other growing cities and regions with solid demographics and economic prospects and attractive risk-return profiles. We have been able to build up a diversified €600m portfolio across four countries for this institutional client during the last three years.“
The company has also acquired a senior living home with 45 residential units, as well as a commercial property with 2,376m² of rental space in Dresden for €8.4m. The investment was made under a separate mandate for a south German insurance company in Dresden-Neustadt within the 2IP Fund. The building, constructed in 2017 on a plot of around 2,000m², is located in the popular Dresden district of Außere Neustadt, north of the River Elbe and the old town. The L-shaped property ranges between three and five floors and offers residents a large roof terrace and a boules court. All units have modern equipment, underfloor heating, floor-level showers, fitted kitchens and a balcony or terrace.
Michael Keune, Managing Director, CRIM said: "We were impressed by the structural quality and the location of the property. It is tailored to the needs of older residents who still wish to take advantage of all the services and cultural attractions that a city like Dresden has to offer. We believe that together with the compact two-room format, this formula will have a strong appeal to the senior living segment of the market.“