Catella invests €90m in European resi developments

Catella invests €90m in European resi developments

Catella Residential Investment Management (CRIM) has purchased two apartment developments in Vienna, Austria and one in Nieuwegein near Utrecht in the Netherlands for a total of around €90m. The acquisitions were made on behalf of the Catella European Residential Fund III (CER III). The two properties in Vienna are turnkey developments. The first is located in the 21st district of Vienna, close to the Floridsdorf train station. The 155-unit project, with 51 underground parking units and 265 bicycle stands, is situated in the Schöpfleuthnergasse area and was acquired for €40m. The ‘U-shaped’ building will include well-designed one to four-room apartments, averaging 55 square metres per unit, suitable for single households or small families. Each apartment will have access to either a garden, balcony or terrace. The project will be completed in 2022 and aims to achieve a OGNI Gold certification. The second acquisition for around €20m, ‘Klosterneuburg,’ is a 70-unit property, comprising two to four-room apartments with either a garden, balcony or terrace, overlooking local vineyards. The development is in one of Vienna’s most attractive suburbs with excellent transport links and will be completed in 2021.


The Dutch development is located on Edisonbaan, Nieuwegein, close to Utrecht and was acquired for about €30m. ‘Park Rijnhuizen’ consists of nine office blocks, CER III bought four of them, which will be transformed into two to four-bedroom apartments, each with its own parking space. The average size of each apartment will be 62m². In total, the development will offer 6,958m² of residential floor space and 140m² of commercial space, comprising offices and a lounge area. The development will achieve an A+ energy rating, compliant with Dutch legislation coming into force in 2030. The development is part of the ‘Edelwonen’ concept’, the overall development, rental, delivery and property management is being facilitated by Edelwonen and delivered by the BouwhuisGroep BV.


Xavier Jongen, Managing Director CRIM, said: “The two acquisitions in Vienna mark our entry into a sixth European country since the CER III Fund launched 18 months ago. European residential real estate has shown its resilience relative to other investment property sectors during the Covid-19 pandemic and particularly in Austria. Catella’s latest Austria residential ‘Market Tracker’ research shows apartment values rose on average by 9.5% in the first three quarters of this year and yield compression has persisted in the multi-family sector across all cities. We expect demand for residential real estate to remain high, notably from international investors, whose share of the market has climbed to 45%, confirming Austria’s position as a preferred European investment location.”


Patrick Au Yeung, Fund Manager for the Catella European Residential Fund III said: “The Nieuwegein project exemplifies how we can meet today’s housing shortage and affordability issues by transforming offices to residential use. As inner-city prices continue to rise, it is logical for people to move to the suburbs and this asset is a perfect example being close to Utrecht, with all the services the fourth largest city in the Netherlands has to offer, and suitable for a wide range of residents, including young people, families and older residents.

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