As part of its portfolio restructuring program, Redevco Services Deutschland GmbH has sold the Metropolitan office building in Düsseldorf to Hines' Pan-European Core Fund (HECF), a vehicle owned by international real estate investor and developer Hines.
The 7,000-m² leasable area is spread over seven storys. The office building is fully let under long-term leases, one of the tenants being Redevco itself. The parties have agreed not to disclose details of the selling price. Colliers Trombello Kölbel and Hogan Lovells advised Redevco in the sale. Hines Immobilien GmbH handled the sale on behalf of HECF, and will also be responsible for managing the property.
The acquisition of this high-quality and well-let property sees Hines' return to the Düsseldorf real estate market for the first time since it completed and sold Benrather Karree in 2003.
"We are delighted to be able to further diversify the HECF portfolio by adding an office property in Düssel¬dorf, especially as the Metropolitan will give us a presence again in the market. Düssel¬dorf will play an important role in Hines' expansion strategy going forward. We will be looking for both well-let properties and opportunities for project development," says Christoph Reschke, Managing Director of Hines Deutschland.
The disposal reflects Redevco's strategy for the coming years to further upgrade the portfolio and add continually to its value. The focus of this strategy, given special emphasis since 2010, will be exclusively on the segment Redevco has traditionally built up its greatest expertise in retail.
The company will optimize the value and quality of its portfolio by buying or developing downtown retail properties in prime locations in major cities, and investing in market-dominant shopping centers. Redevco plans to sell its sub-portfolios in office and logistics properties over the next three to five years.