US real estate investment trust Global Income Trust has signed an agreement to acquire a portfolio of four neighbourhood retail centres in Germany. Financial details were not disclosed.
US real estate investment trust Global Income Trust has signed an agreement to acquire a portfolio of four neighbourhood retail centres in Germany. Financial details were not disclosed.
Independent private equity group MGPA, which provides sub-advisory services with respect to investments in Europe and Asia for Global Income Trust, advised the buyer on the deal and has been appointed to manage the properties.
Each of the properties is located in a strong retail area in western Germany. Three of the properties - Worms, Gütersloh and Bremerhaven - are located in cities with more than 50,000 inhabitants. The remaining property is located in Hannover, which has a population of more than 500,000.
The four centres have a combined leasable area of 11,100 m2, and contain 15 retail units. The four properties average a 98% occupancy rate and are leased to established international and national food and non-food retail brands. The age of the properties is between four and seven years and the weighted average lease term is 7.3 years.
This transaction will build on MGPA’s strategy to become one of the leading investment managers of retail warehouses in Germany, the company said. 'This is our third acquisition of retail properties in 2012 and we continue to be one of the most active investors in retail warehouse investments in Germany,' said Marius Schöner, MGPA’s head of Germany.
The company now has 181 retail properties with a total net lettable area of 320,000 m2 under management.
