GEG German Estate Group AG has acquired the 'Triforum' office and hotel complex in Cologne with a gross lettable area of around 25,000m². GEG bought the property from an investment fund managed by Institutional Investment Partners (“2IP”) for an institutional client. The transaction will close before year-end. The total investment volume comes to over €100m. Internos Global Investors acted as a transaction- and asset manager for the fund.
The hotel which is part of the complex has a lettable area of 10,000m² and is leased under the “PARK INN by Radisson” brand on a long-term lease. The office property with its 15,000m² of lettable area is let long-term to high-quality tenants with blue-chip credit ratings.
The property complex is situated in a well-off neighbourhood not far from the town centre in the Innere Kanalstraße. The 14-storey office high-rise was first built in 1964 and has been renovated extensively several times since then. The hotel property (4-star hotel with 205 rooms) dates back to 2001. In addition to gastronomy areas, the hotel building also includes 12 conference rooms together and a wellness area with gym. Today both properties are fully occupied. In recent years, the hotel lease agreement, as well as several rental agreements, have been extended. Significant improvements measures are being carried out.
The transaction was facilitated in advisory roles by BNP Paribas Real Estate, White&Case, DLA Piper, Drees & Sommer, and HOTOUR Hotel consulting.
Ulrich Höller, CEO of GEG: “With this acquisition in our strategic Institutional Business segment we enhanced our portfolio by adding another attractive property with a first-class location and stable cash flows.”
Jochen Schäfer-Suren, Managing Director IKVG and Partner responsible for hotel and Leisure at Internos: “We are pleased to have successfully pursued this transaction with GEG as part of our Value Add Strategy for the Triforum hotel and office complex.”
