Barings has sold an 8,415m² office building in Stuttgart, southern Germany, to Deka Immobilien. The property had been held in a joint venture between the Barings Real Estate European Value-Add Fund I (BREEVA I) and a retained US client of Barings.
The office building, house E, is one of three buildings at the LEO Business Campus, which is located at Löwentorstrasse 46-48 and offers a total GLA of 27,400m². House E was completed in 2019 and received a DGNB Gold certification for its sustainability credentials, which include cycle commute infrastructure and low-emission materials in the interior design. The property also includes a green inner courtyard and 102 parking spaces. It is fully occupied and leased to GMG Generalmietgesellschaft, the property manager of German telecommunications giant Telekom, and Exyte, a global leader in the design, engineering and delivery of facilities for high-tech industries. The remaining campus buildings are still under construction.
Sascha Becker, Managing Director and Country Head Real Estate, Germany, at Barings, said: “The development of the LEO Business Campus was a rare opportunity in this sought-after location. Stuttgart has the highest concentration of industry in all of Europe and is an important tech hub. The two remaining buildings are expected to reach completion in the first half of 2022 and will make an attractive core investment opportunity.”
Valeria Falcone, Head of Value-Add Investing Europe at Barings, commented: “The divestment in Stuttgart is the seventh for BREEVA I and contributes to the value-add fund’s strong performance so far.”
