JV Acquires Berlin Office Complex
- Dec 10, 2018
Ardian Real Estate has teamed up with a private investor to acquire a 322,917-square-foot office complex in Berlin. The property comprises a six-story main building, an 11-story tower and a parking garage with more than 200 spaces.
The building is currently 87 percent occupied and its long-term anchor tenant is internet provider I/P/B. A significant portion of the office space is up for renewal or lease in the coming years. The property is the second investment by the Ardian Real Estate Europe Fund in Berlin and the fourth in Germany.
Built in 1974, the property was renovated in 2000 and Ardian plans to further modernize the complex by the end of 2019. The building is located at Lützowstrasse 105/106, in the direct vicinity of Potsdamer Platz and the city park at Gleisdreieck, and provides easy access to local public transit.
“The high demand for office space in central Berlin, combined with limited availability, enables significant rental and value growth potential for modern and attractive projects such as the office complex at Lützowstrasse,” said Bernd Haggenmüller, managing director of Ardian Real Estate, in prepared remarks. “We will utilise our asset management expertise to realise added value both for our investors and the tenants of the building.”
Herbert Smith Freehills, CBRE PREUSS VALTEQ, taxess and Cushman & Wakefield represented the buyers in the transaction, while Hengeler Müller, Maucher Consult and BFIN advised the seller. Debt financing for the deal was provided by BNP Paribas.
Berlin was recently named the top office market in Europe, according to a Scope Analysis GmbH report.
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