Hines has acquired a major new asset on behalf of the Hines European Core Fund (HECF) while announcing Simone Pozzato as HECF’s Fund Manager. The Friesen Quartier is a 25,173m² mixed-use development featuring six properties in the heart of Cologne, Germany, which has been acquired from the joint venture between PROXIMUS Real Estate AG and Quantum Immobilien, for an undisclosed price. The Friesen Quartier provides 12,000m² of office space, 7,000m² of residential and 2,000m² of leisure and retail that will include 460 underground car parking spaces, two daycare centres and outdoor areas.
This deal is the latest in a string of significant acquisitions for HECF with €1.1bn committed in the last 15 months alone, including the 30,000m² portfolio of eight prime sites in France to develop a series of Build-to-Rent (BTR) residential schemes, and the acquisition of the 60,750m² urban logistics facility, Ventrupparken 3-5, in Copenhagen. These acquisitions form part of HECF’s ongoing long-term strategy to increase exposure to residential, large-scale mixed-use and logistics assets in key European locations with strong long-term growth prospects.
Simone Pozzato, Managing Director and HECF Fund Manager, at Hines, said: “This is an exciting time for the Fund as we continue to evolve and reshape the balance of assets, while broadening our investor base, particularly from the United States and Asian markets. We see a great opportunity for diversified real estate funds that are able to take advantage of opportunities in different countries and sectors. As such, we have a very strong pipeline of deals in progress with many in exclusivity and we remain committed to the ESG industry benchmarks we have set while delivering best-in-class returns. Our aim is to maintain, and build on, these standards which investors are now, rightly, demanding.”
Alexander Knapp, Chief Investment Officer – Europe, at Hines, added: “We have strong ambitions for our European Core Fund, and we foresee that diversified vehicles will benefit the most during the recovery which is now in sight. During COVID-19, the team took advantage of the opportunities triggered by the pandemic by completing a record number of transactions during the last 15 months, mainly off-market. Having committed more than €1.1bn of new acquisitions in 2020 and 2021 demonstrates the strength of our local platform which constantly sources new investment ideas for our flagship vehicles. We are confident that Simone will continue to lead the expansion of the Fund with a dynamic and thoughtful investment approach which has shaped the success of HECF to date.”
