Stuttgart-based FAM Real has acquired the mixed-use STEP 4 commercial property at Wankelstrasse 10/12 in Stuttgart. The seller is Union Investment, which has held the property in one of its open-ended real estate funds since 2018. STEP 4 comprises around 7,500m2 of rental space, which is used for fitness and conference facilities, food services and retail. The buyer intends to move swiftly to re-position the property and leave the vacant space, to meet the needs of the wider surrounding area. The sale price exceeded the most recent expert valuation. The parties agreed not to disclose further details.
“This profitable sale is part of our strategy of systematically reducing the age of our portfolio while also lowering our too-high overall exposure to Stuttgart Engineering Park,” said Alejandro Obermeyer, head of Investment Management DACH at Union Investment.
The acquisition is a further step in FAM Real’s successful investment strategy of making its own clear equity capital commitment alongside investment by wealthy families. The aim over the coming years is to purchase properties with significant potential for value appreciation and a need for structural development.
Advisors at E&G Immobilien in Stuttgart brokered the transaction on behalf of the owner. SGP Schneider Geiwitz advised FAM on legal and tax aspects of the deal, while technical advice was provided by the latter’s sister company, albrings + müller ag.
Image credit: Union Investment.
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