PGIM Real Estate has acquired Berlin office tower STREAM, from SIGNA, as part of a forward deal on behalf of German and Swiss institutional investors. The modern office building, currently under construction, is located at the Mercedes-Benz Arena. When finished, this architectural landmark that will shape the cityscape will house around 2,500 workspaces, with a height of around 90 metres and a total floor area of around 50,000m² above ground. The main tenant of the modern office building will be the e-commerce company Zalando, which in recent years has developed into Europe’s leading online fashion platform. Construction began in early 2019. Completion is scheduled for the end of 2021. The purchase price was not disclosed.
“Berlin is an exciting market that offers a lot of potential in the office segment,” said Sebastiano Ferrante, head of Germany and Italy at PGIM Real Estate. "This is primarily indicated by the continuing demand from tenants, combined with a limited supply. We are therefore pleased that, as part of our investment strategy, we have been able to make a further acquisition for our institutional investors which should enable them to achieve an attractive increase in value and a return in the long term.”
“Like no other quarter, Mediaspree stands for the positive economic development that Berlin has experienced in recent years,” said Timo Herzberg, CEO of SIGNA Real Estate Germany. “The location has developed into a top office market and is particularly popular with companies from the technology, media and telecommunications sectors. STREAM stands out with its distinctive architecture and top tenant. With this transaction, PGIM Real Estate has acquired for its investors one of the highlights of Mediaspree.”
