Deutsche Investment KVG has invested a total of c. €55m in six residential properties in Berlin and one property each in the Hamburg metro region and the Rhineland metro region. The properties divide into 257 residential and 19 commercial units. The transactions were closed within the framework of a single mandate for an institutional investor and for a separate asset pool. The assets were sold by private investors; the transfer of benefits and burdens already took place.
Six of the properties in Berlin represent Belle Epoque buildings, located in the boroughs of Friedrichshain-Kreuzberg, Pankow (Prenzlauer Berg), Mitte, Tempelhof-Schoneberg and Lichtenberg, and benefit from excellent public transportation access. The property acquired in the Hamburg metro region was built in 1984 and is located in a sought-after location in Seevetal (Hittfeld), which borders directly on Hamburg’s district of Harburg. Another property is located in Leverkusen in the Rhineland metro region. Dating back to 1965, it is located in a well-frequented side street of the pedestrian precinct in the Wiesdorf district, within walking distance of the central railway station. All of the properties are in good condition.
“The asset class of residential real estate remains one of the most sustainable and safest investment options for those of our institutional investors that have a long-term horizon. In accordance with our diversified investment strategy, we concentrate on central locations in Class A cities like Berlin, Hamburg, Cologne and Düsseldorf as well as on selected growth cities or regions that show stable demographic and economic developments,” said Enver Buyukarslan, the main shareholder of Deutsche Investment.
“Owing to the positive demographics in the metro regions we focus on, demand for housing is growing not just in central inner-city locations but increasingly in the suburbs of the metropolises as well. Our latest investment properties already show a very low vacancy rate, and we estimate that our chances of successfully completing subsequent lettings are excellent – not least because of the average flat sizes, the market-consistent cost rents, and the quality of the property locations, which are subject to strong demand,” added Nina Alexandra Sobotta, Transaction Manager at Deutsche Investment KVG.