Swiss-based private equity group Corestate is targeting 鈧�1 bn of club deals this year, focusing on distressed assets in both new and existing markets, its founder Ralph Winter told PropertyEU this week.
Swiss-based private equity group Corestate is targeting 鈧�1 bn of club deals this year, focusing on distressed assets in both new and existing markets, its founder Ralph Winter told PropertyEU this week.
Earlier this week, Corestate announced that it had acquired a distressed German mixed-use commercial and residential portfolio with a market value of around 鈧�290 mln. It has not disclosed how much it actually paid for the 114,000 m2 portfolio, although it is likely to have been acquired at a significant discount. The commercial component comprises six offices in cities such as Berlin, Bonn and Freiburg. The 6,000 residential units are located in North-Rhine-Westphalia. The sale comes on the back of a forced administration but the properties have already been recapitalized. The portfolio has an average rental yield of 9%, although Corestate expects that to compress as it improves the underlying properties over time.
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