Centralis Immobilien GmbH (Centralis) acquired a site in Hamburg for a serviced apartment development. The parties have agreed not to disclose the purchase price, but the project volume is in the €15-20m range.
Planning consent has already been granted for the 700m2 site at Luneburger Strasse 5 in Hamburg. A total of 88 serviced apartments, with an approximate lettable area of 3,100m2, are planned. Ranging in size from 20m2 to 35m2, they will be furnished to a high standard.
Construction is slated to start at the end of the 1st quarter of 2025. After completion of the project, scheduled for Q3 2026, the property will be operated by Munich-based limehome, the leading European operator of fully digitalised designer apartments. The lease was concluded in October 2024.
At the beginning of 2025, Centralis is to hand over a serviced apartment project in Berlin's trendy Friedrichshain district to limehome. Centralis acquired the former hotel property at Weserstrasse 24 last year and has extensively upgraded its energy efficiency, and revitalised, and repositioned the property in the past few months. The refurbishment has resulted in 42 newly designed serviced apartments with a total lettable area of approximately 1,100m2. The future occupiers will also enjoy shared access to a conservatory in the rear courtyard.
Felix Lorenz, Head of Investment at Centralis, commented: “The repositioning of the hotel in Berlin and the start of construction in Hamburg demonstrate that we are successfully operating counter-cyclically in a challenging market environment, responding to increased demand from occupiers and operators in this rapidly growing asset class. This is evident in our secured pipeline, which already includes further notarised assets in prime locations of A-cities in Germany. In 2025, we are targeting a project volume of at least €100 million, made up of this secured pipeline and selective new acquisitions."
Matthias Maas, Vice President Expansion at limehome, added: “The projects in Hamburg and Berlin mark further milestones in limehome's successful expansion in Germany. Collaboration with Centralis was a decisive factor in successfully implementing these projects. We look forward to expanding our portfolio with additional modern, digitalised serviced apartments in these important cities and to further projects with Centralis."
Image source - Centralis.
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