M7 Real Estate (M7) has acquired three commercial properties in Germany for its fifth European value add property fund, M7 EREIP V for €17.7m, in three separate transactions.
The first property was acquired from May & Co and is located at Ostring 6, in the Nordenstadt district of Wiesbaden. The asset is a mixed-use logistics and leisure asset of 15,300m² with tenants including SOPRO Bauchemie and the Superfly trampoline park. It has a vacancy rate of approximately 25%, thereby offering the opportunity to create value by increasing occupancy.
The second acquisition in Koblenz was a sale and lease-back deal, on a 10-year FRI (triple net) lease, with an option for a further five years. Well-located on the northern edge of the city, the building has a flexible structure, occupying 11,750m² on a large site of c. 33,000m². The vendor is a Mutares investment company.
The final asset in Bischofsheim, Rhineland-Pfalz is a cross-dock logistics warehouse and ancillary office building. Built in 1991, it has a total lettable area of 3,800m² on a c.14,600m² site. Recently vacant (since November), it is situated in a very strong location with good access to Frankfurt and the key regional cities of Mainz and Wiesbaden, which are situated around ten kilometres away. It has already attracted strong occupier interest post-acquisition.
