BlueRock Fund Lands German Media Group HQ
- Mar 09, 2016
By Keith Loria, Contributing Editor
BlueRock Fund has acquired Neven DuMont Haus, the headquarters of the DuMont Mediengruppe in Cologne, Germany, in a sales/lease-back arrangement.
The property is leased to the media group, one of the largest in Germany, for 15 years.
“Our extensive research has indicated that this is a very attractive deal due to the combination of a long and strong lease agreement, low and decreasing office vacancy rates and the lack of high-quality offices in Cologne,” Ronny Pifko, BlueRock’s fund director, told Commercial Property Executive. “Bottom line, we’ve achieved a risk return which is above average for Germany’s real estate market and this is what makes it a great deal. ”
Originally build in 1998, the headquarters was designed by renowned architectural firm Hentrich-Petschnigg & Partner, and is considered one of the most spectacularly designed office buildings in Germany.
“The design and high quality technical standards make the building very appealing,” Pifko said. “We’ve been active in Germany since 2012 and appreciate the solid economy. Cologne is currently undergoing very positive developments, and with this deal we widened our exposure to this city as we have wished for quite a while.”
BlueRock is an AIFMD compliant fund, licensed by the Gibraltar Financial Services Commission. According to Pifko, BlueRock’s philosophy is to serve its investors with direct real estate opportunities, which are solid, straight forward and transparent and yield the right risk return.
“Further, we can imagine various scenarios of further growth in this building, which make it an extremely attractive deal from different angles,” he said. “The building is in a perfect condition and exactly fits our tenants’ needs. ”
The property’s location is within easy reach of the city center and has access to public transport and numerous parking.
BlueRock Fund has acquired eight office buildings and a portfolio of residential real estate valued at more than 280 million Euro, with an annual return of 9-12 percent.