WGF AG purchases 1,187 homes from Pirelli Real Estate for €56 million (DE)

WGF Westfälische Grundbesitz und Finanzverwaltung AG has acquired a real estate portfolio with a transaction volume of around €56 million containing 1,187 residential units from Pirelli Real Estate. The properties are located in Lower Saxony and Schleswig Holstein, Germany. The WGF AG thus expands its real estate portfolio to a current 4,473 homes together with 166 commercial units with a total area of 360,000 m².

The properties mainly consist of three to four story apartment blocks. The total residential area comprises 70,731 m². The occupancy rate amounts to 97%. Due to the very high standard of maintenance up to now, there is no major need for renovation.

As recently as end of 2009 WGF AG acquired the real estate portfolio of the Swiss Corestate Group with 1,879 homes and 95 commercial units, thus carrying out the eight largest residential real estate transaction in Germany in 2009. WGF AG is securing its mortgage bonds and all of its financial instruments by means of the real estate acquisitions and its portfolio.

Pino Sergio, CEO and founder of the WGF finance group, stated: "We are delighted with this transaction and have decided, on the basis of Pirelli RE's excellent performance up to now, to leave the Asset Management for these properties in their hands."

Paolo Bottelli, Managing Director of Pirelli RE Germany, added: "In WGF AG we have found an excellent business partner and an experience middle-class real estate expert as purchaser. Through our Asset Management the tenants will continue to receive professional and reliable support. With this sale, Pirelli RE is continuing its strategic portfolio optimization."

Source: BrunoMedia Communication

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