Savills IM has completed its fourth acquisition for its European Living Fund, purchasing a fully-let 118-unit multifamily scheme in Hamburg's Tonndorf-Wandsbek quarter from PATRIZIA SE. The transaction marks the fund's debut in the German market, strategically expanding its pan-European footprint that now spans Spain, Sweden, the Netherlands, and Germany.
The 7,000m² asset, constructed in 2011, combines residential and commercial uses across four floors and benefits from excellent connectivity to local amenities including shopping centres and green spaces. The property's strategic location, offering convenient access to Hamburg city centre via multiple public transport options, aligns with Savills IM's focus on well-connected assets that demonstrate resilience against market fluctuations while meeting growing demand for quality rental accommodation.
"The fund is uniquely positioned to capture the market opportunity in European Living, owing to our wide but localised deal-sourcing network, physical pan-European presence, and experienced team of sector-specialists. This provides us with the infrastructure to accelerate deal flow by accessing market opportunities that have been significantly repriced but benefit from highly supportive structural fundamentals," says Patrick Au Yeung, Senior Fund Director for Savills IM's European Living Fund.
"With the purchase in the east of Hamburg, we were able to secure another attractive property for our European residential fund. Hamburg is characterised by strong demand for residential space combined with limited supply. We continue to look for suitable living properties in German and European locations with positive economic and demographic trends and high sustainability standards," adds Tim Ulrich, Head of Transaction Management, Germany at Savills IM.
Launched in 2023, the core open-ended fund invests in residential-rental assets producing long-term income with strong sustainability credentials across multifamily, student accommodation, and senior housing sectors. This latest acquisition adds to Savills IM's €26.2bn total assets under management, with its living sector portfolio now comprising €2.9bn and approximately 9,000 units across the UK, Europe and Japan.
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- Patrick Au Yeung, Senior Fund Director, Savills IM's European Living Fund
- Tim Ulrich, Head of Transaction Management, Germany, Savills IM
- Savills Investment Management: International real estate investment manager
- PATRIZIA SE: European real estate investment manager and seller of the Hamburg property
- Transaction advisors: CT Legal (legal), PwC (tax), CBRE (technical), BNP Paribas Real Estate (commercial)
