UBS Asset Management (UBS-AM) Real Estate & Private Markets (REPM) has acquired the ‘Schiller27’ mixed-use asset in Frankfurt, Germany for c.€27m. The property was purchased on behalf of the UBS (I) Zurich Italy - Real Estate Fund (UBS-ZIREF) from a special real estate fund managed by DIC Asset AG.
Schiller27 is a seven-story V-shaped property occupying a prominent position in Frankfurt’s central business district, straddling both Schillerstrasse and Taubenstrasse. Constructed in 1997, the office-led asset totals 3,000m², including approximately 350m² of ground-floor retail space, and presents an institutional-grade investment proposition on account of its high quality, prime location and strong tenant roster. The property has been acquired fully let, with major tenants including German financial institutions ODDO Seydler Bank AG and Landesbank Baden-Wurttemberg (LBBW).
Peter Haltenberger, Member of the Managing Board Real Estate Germany, commented: “Schiller27 is a high performing investment that offers attractive growth prospects, making it an excellent addition to the UBS-ZIREF portfolio. Both the quality of the asset and the strength of its location provide it with highly defensive characteristics and clear visibility of income streams that align perfectly with the Fund’s goal of generating strong and stable returns over the long-term for our client. We consider this to be an ideal opportunity to provide the Fund with exposure to one of Europe’s top five office markets, as Frankfurt continues to draw a growing list of international corporate occupiers amid undersupply of prime stock.”