Hines has completed the sale of Stuttgarter Tor, an office asset in Stuttgart, Germany, on behalf of the Hines European Value Fund (HEVF). The 14,822m² office complex has been sold to investment management company Arminius, acting on behalf of German institutional investors, for an undisclosed price, after a competitive sales process managed by Colliers International.
Hines acquired Stuttgarter Tor in December 2017, as the first investment made by HEVF, the first in the Hines flagship series of European ore plus/value add strategy funds. The asset is being sold following a two-year asset management program during which has significantly outperformed the Fund’s business plan.
Located in a prime location in the Feuerbach office submarket of the city, Stuttgarter Tor comprises three buildings fully leased to a strong tenant base including Robert Bosch GmbH and law firm Menold Bezler. Hines secured planning consent for the redevelopment of a fourth smaller, obsolete building in the complex, which was sold separately to an owner-occupier advised by Immoraum in August 2019, and will proceed to develop a new headquarters premises.
Paul White, HEVF fund manager, said: “It is a testimony to the strength and power of our European platform and our local network in Stuttgart that we were able to identify and secure this investment, and implement a rigorous two-year program of asset management which significantly outperformed the Fund’s business plan, delivering excellent returns for our investors.”
Emanuel Coskun, managing director, Hines Germany, said: “Stuttgart is an important location for Hines in Germany since we opened our office with a team here in 2008. Our knowledge of the local market was certainly instrumental in securing this asset and helped us execute the Fund’s asset management strategy which has proven so successful. We remain committed to long-term investors across Stuttgart with multiple investments across the City including Kronzprinzbau 1 & 2, Caleido and the Karlshoehe Quartier."
