Swiss Life Asset Managers has purchased its first property for the open-ended public property fund “Swiss Life Living + Working”. The office and commercial property ATROS is located at Lindberghstraße 3, in Munich’s Schwabing district. The seller, Hammer AG, is also based in this Bavarian capital. The property is leased on a long-term basis to a number of reputable companies in the automotive sector. The investment volume is in the region of €31m.
ATROS has around 8,000 m² of rentable space, including 100 parking spaces and green areas. The building was constructed in 2008 and renovated in 2016. It was originally designed for single-tenant occupancy. The repositioning and conversion of the property, which boasts office and technical areas in addition to show rooms, now means that it is suitable for multiple tenants.
Kevin Julian Fuhr, Head of Portfolio Management and Public Funds Strategy at Swiss Life KVG, says: “The first property earmarked for our Swiss Life Living + Working fund underlines the new investment strategy with its innovative types of use. The property’s return far exceeds the returns of pure office buildings in the city centre area. This investment has allowed us to make an excellent start to our fund.”
Vladislav Georgiev, Director of Project Development at Hammer AG, says: “We acquired the building at the end of 2015 and have been renovating it extensively since April 2016 to make it ready for occupancy. The successful transaction proves that redevelopment of the user-specific, single-tenant property into a multi-use, multi-tenant office building and core plus product has been a success.”
The “Swiss Life Living + Working” fund focuses on German and European real estate in the living (residential and health) and working (office and retail) segments. It is aiming for a performance of more than 2.5% (according to the BVI calculation method – German Investment Funds Association). Swiss Life has invested its own long-term capital amounting to €200m in the fund. This has enabled the first property acquisition even before the start of sales.
The buyer was represented by the legal firm Beiten Burkhardt. The seller was represented by Colliers International, GSK Stockmann & Kollegen and by Drees & Sommer.
