IMMOFINANZ Immobilien Anlagen AG has wrapped up its biggest real estate investment to date with its subsidiary IMMOWEST. One of Germanys most respected real estate development projects was acquired in Munich. The Lenbachgärten at an excellent location in the Bavarian capitals city centre comprises total lettable space of approx. 65,000 m². Offices account for about two thirds, a five star plus luxury hotel for the rest.
Construction for the Lenbachgärten began in May 2005. Completion and transfer to tenants is planned in several stages for the first half year of 2007. The project is situated on an approx. 25,000 m² piece of property and has a spacious underground garage with 600 parking places available. The location is distinguished not only by its proximity to the city centre, but also by its first rate transport connections and high degree of recreational value due to the surrounding botanical garden.
Two office projects have been rented for eleven years by the German subsidiary of the US-American publishing house Conde Nast and the bigger office building by McKinsey&Company, likewise for eleven years. The hotel was rented by the international luxury chain Sir Rocco Forte for 30 years and will be run as a five-star, virtually premium class establishment.
The total investment for the project, which consists of four buildings, is significantly more than €200 million, making it the biggest single investment which IMMOFINANZ has ever carried out in Germany. The seller is FRANKONIA Eurobau Max-Viertel Gmbh. The entire project will be realized by FRANKONIA Eurobau AG.
For IMMOFINANZ this acquisition is already the second large-scale investment in Germany in 2006. In January 50% of the logistics specialist DEUTSCHE LAGERHAUS (14 logistics properties with 300,000 m² of lettable space) was acquired. Before that a large residential portfolio was purchased in Berlin (1,550 flats) as well as an office portfolio in the Frankfurt am Main region (28,000 m²). Altogether IMMOFINANZ has 27 properties with a total of 376,572 m² of lettable space in Germany.
With the Lenbachgärten we have acquired a really outstanding project which will be our new flagship on the German market. We now own real estate in one of the best locations in Munich and letting to first-rate international companies guarantees us good long-term revenues, says Chairman Karl Petrikovics.