Patrizia has acquired Treptower, a landmark asset and the tallest office building in Berlin, Germany, from ARB Investment Partners. This transaction increases the value of Patrizia’s office portfolio across Europe to nearly €14bn.
The 32-storey building, comprising 26,000m² of lettable space across flexible floorplates, is 99% let to 11 occupiers with a WALT of 4.2 years. The largest occupier by space is Bundesanstalt fur Immobilienaufgaben, the government agency which provides real estate services to federal government departments. Other tenants include navigation specialist TomTom, IT service provider Atos and open banking portal OptioPay.
The Treptower was built in 1998 and benefits from an exclusive riverside location in Mediaspree, an emerging office sub-market in Berlin, which is increasingly seen as an attractive alternative to the CBD. The asset is also situated in close proximity to transport links with easy access to the suburban train circle.
Ulf Christiansen, Director Transactions at Patrizia, commented: “This acquisition demonstrates our ability to source and execute landmark buildings, which present attractive investments for our clients. Whilst already producing a secure income stream, the asset also offers upside potential, with an opportunity to grow this income over the medium term, leveraging the property’s location in a dynamic area of Berlin where occupier demand is strong.”