The new Sierra German Food Retail Income Fund I made its debut with the acquisition of 5 food retail properties, covering a total area of approximately 6,500m² GLA, operated by renowned German brands such as Aldi, Rewe and Netto. This follows Sonae Sierra launch of a new open-ended AIF in Germany, which invests primarily in the food retail sector in Germany and targets institutional investors. With a focus on discounters and supermarkets as well as on hypermarkets across Germany, preferably stable stand-alone properties, characterised by long-term leases with recognised and high-quality operators, the fund has a target investment volume of at least €200m. The vehicle’s creation furthers Sonae Sierra’s focus on expanding its investment fund management business, a fundamental part of the company’s strategic ambition, where Sonae Sierra combines its extensive asset value creation know-how with a strong track record of partnerships with leading blue-chip institutional investors.
Christoph Billwiller, who leads Sonae Sierra’s investment management team in Germany, commented: “The creation of this new open AIF represents a new landmark for Sonae Sierra in Germany and offers a solution for professional and institutional investors, looking for stable long-term income, managed by an experienced team with combined asset management and investment management know-how. It is part of Sonae Sierra’s strategy to increase our exposure to new real estate investment vehicles, capitalizing on our international experience and on the track record we have built with multiple institutional investors over the last 30 years.”
