Le mie ricette per la real estate communityPATRIZIA acquires portfolio of 86 German retail properties for new
PATRIZIA Immobilien AG has acquired a portfolio of 86 retail properties for institutional investors in a co-investment structure. The real-estate purchase price is around EUR 178 million. PATRIZIA itself is aiming for an equity participation in the final structure.
The retail property portfolio comprises 86 specialist outlets and supermarkets at attractive, established retail locations with around 133,000 sqm available to rent and generates an annual net basic rent of approximately EUR 16 million. The properties are being acquired within the context of a structured bidding process which was won by PATRIZIA and which relates to the insolvency assets of DEIKON GmbH i.I.
Most of the properties are located in the highly commercially attractive federal states of Baden-Württemberg, Bavaria, Hesse, Lower Saxony and North Rhine-Westphalia. The vacancy rate is less than 1%. The rental agreements have an average residual term of 7.4 years; negotiations with the principal tenants regarding a contract extension are at an advanced stage. The five largest tenants are Netto (approx. 30% of rent), REWE (14%), EDEKA (10%), PENNY (7%) and Lidl (7%) (December 2012).
«This acquisition underlines the strategic development of PATRIZIA. Rather than being limited to the residential property sector, our business model of co-investments incorporates all other property sectors. In addition, we can apply different investment styles and handle different scales of investment volume» said Wolfgang Egger, CEO of PATRIZIA Immobilien AG.
Source : Company