Immofinanz's residential property arm Buwog has acquired a portfolio of 1,185 residential units in Berlin for around 鈧�50 mln, reflecting a gross return of 8.62%.
Immofinanz's residential property arm Buwog has acquired a portfolio of 1,185 residential units in Berlin for around 鈧�50 mln, reflecting a gross return of 8.62%.
The portfolio, providing around 79,400 m2 of gross lettable space, was acquired from administrator Ralf Rattunde as part of an insolvent estate. The vacancy rate is 4.2%.
The purchase price reflects an average price per square metre of about 鈧�630.
'The acquisition is in line with our overall strategy to develop a strong portfolio in the northern German federal states,' said Daniel Riedl, CEO of Buwog and COO of parent company Immofinanz.
He added: 'Berlin is still one of Germany's most favourably priced large cities for rents and freehold flat prices. The residential package just acquired will bring good long-term returns; the vacancy rate is low.'
Following the deal, Buwog owns 5,447 flats in greater Berlin and has bought a total of 鈧�271 mln worth of assets in Germany so far this year. In total, the company owns 8,430 units in Germany and 27,100 units in Austria.
