The Hamburg-based investment manager Warburg-HIH Invest Real Estate GmbH (‘Warburg-HIH Invest,’ formerly: Warburg - Henderson) has acquired the first construction stage of ‘Palais Behrens,’ an office scheme under construction in Berlin, for the open-ended institutional property fund ‘TOP 7 Deutsche Metropolen Immobilien Invest’ managed by Warburg-HIH Invest Real Estate. The property is expected to be completed and ready for occupation by late summer or fall 2015. It was sold by project developer Frankonia Eurobau.
‘Palais Behrens’ is located at Behrenstrasse 19 in Berlin within walking distance of numerous sights such as the Brandenburg Gate and Berlin Cathedral and close to Friedrichstrasse with its high-street retail pitch and entertainment venues. The eight-storey building comes with a gross lettable area of 7,400 m² that consist to 95% of office accommodation but also include one small retail unit on the ground floor. The building also provides 89 parking spots in the underground car park. Main tenants are booking.com, and the TV studio of the RTL broadcasting system in the German capital, both of whom have signed long-term leases.
The acquisition represents the first commitment by the ‘TOP 7 Deutsche Metropolen Immobilien Invest’ fund. The open-ended institutional fund has a planned fund volume of approx. €400 mln.
The equity capital target is approx. €200 mln, of which approx. €75 mln have already been raised. The fund invests in relevant core office markets in Germany in reply to the investors' desire for sustainable core property investments in Germany.
The building was planned by the Patzschke & Partner architectural firm. On the buyer side, the acquisition was facilitated by the law firm of Ashhurst.
Source: Warburg-HIH Invest Real Estate GmbH