Union Investment has sold the office and commercial property” Fifth & Pine” in Seattle, owned by its open-ended real estate fund “UniImmo: Global”, to US investor Invesco Advisors Inc.
The sale price of around USD 70.6 million exceeded the most recent expert valuation. Union Investment purchased the property, which comprises some 14,673 sq m of rental space, for around USD 55 million in 2005. «Demand for high quality, high yield properties in the USA remains high. After an eight-year holding period, we have successfully taken advantage of a market opportunity to sell the asset» said Volker Noack, a member of the management team at Hamburg-based Union Investment Real Estate GmbH.
Following the sale of Fifth & Pine, the UniImmo: Global fund holds six office and logistics properties or real estate companies in America (USA and Mexico) with a total value of around EUR 340 million.
Union Investment Institutional Property GmbH has acquired three apartment blocks located in Berlin and comprising 1,384 units for a total purchase price of EUR 87 million. Union Investment purchased the residential portfolio for one of its institutional real estate funds.
«This acquisition continues our strategy of buying residential property in Berlin for this single-investor fund» said Dr. Christoph Schumacher, a member of the management team at Union Investment Institutional Property GmbH. Portfolio and asset management is being handled by Dupuis GmbH & Co. Asset-Management KG, Berlin. «We have an excellent working relationship with Dupuis; this second transaction on behalf of the fund has again shown how compelling the choice of partner was» added Schumacher.
The “Ortlergärten” complex in Berlin has already been acquired for the fund portfolio. The institutional fund currently has capital of around EUR 120 million available for additional investments. The fund’s investment strategy is essentially conservative, i.e. the focus is on solid returns and economic sustainability.
Source: Company