Aedifica has become the first Belgian REIT to invest in the German real estate sector.
Aedifica has become the first Belgian REIT to invest in the German real estate sector.
The Brussels-based residential property investor has announced the acquisition of a recently completed rest home Seniorenzentrum AGO Herkenrath located in North Rhine-Westphalia. The facility is operated by AFO and has 80 beds.
The investment volume was €8 mln, reflecting an initial gross rental yield of 7.25%.
Aedifica CEO Stefaan Gielens commented: 'Investing in German rest homes is the logical next step in Aedifica’s effort to diversify its assets within its main strategic segment, collective senior housing. Germany presents a significant investment opportunity in this segment: it offers the largest European market and an even stronger demographic trend toward an ageing population than in Belgium.
'Care operators continue to grow and consolidate and, as in all Western European countries, the need for financing solutions for real estate infrastructure in the healthcare sector will inevitably grow. Finally, Germany offers the best risk profile of any country in the Eurozone.'
The acquisition lifts the fair value of Aedifica’s portfolio of marketable investment properties to €619 mln. The company also has development projects valued at €20 mln.
