GEG German Estate Group has acquired two properties in Berlin's landmark Alexanderplatz square (Karl-Liebknecht-Strasse 27-29) from Tishman Speyer. The first is the historical high-rise “Pressehaus” building (totalling 24,200m² spread over 16 floors) including the flat-roofed “Pressecafe” building (with a rental space of 1,200m²), both of which were redesigned and completely revitalised. The building was constructed during the GDR era in 1970-1973. Formerly known as “Haus des Berliner Verlags”, it served the head office of publishing house Berliner Verlag until 2017.
The company also purchased the “New Podium” building comprising 10,300m² spread across 6 upper floors. Currently under construction, it is scheduled for completion in 2021. Together newly acquired properties will offer 35,700m² of space. The total investment of the off-market transaction amounts to approximately €365m. Both buildings are already 90%t let on a long-term basis to first-class tenants, including The Office Group, a provider of flexible office solutions. The acquisition of the Pressehaus is GEG’s first investment in Berlin. Following the transaction, assets under management rise to €3.6bn.
“With this investment at Alexanderplatz, one of the Berlin’s top locations with a view to the future, we now have our first presence in the capital – and we intend to seek further opportunities here”, said Ulrich Holler, Chairman of GEG's Management Board.
Florian Reiff, Senior Managing Director at Tishman Speyer, commented: “Our work on the Pressehaus in Berlin adds to our excellent track record of adding value to landmark properties here in Germany. This deal is the latest in a line of value-creating transactions for our investors in Germany and we see no shortage of opportunities to add to these in the coming months and years.”
