Real estate funds managed by Ares Management L.P. have agreed to buy the Kustermann Park office complex in Munich, Germany. Financial terms weren’t announced.
LOS ANGELES & LONDON–(BUSINESS WIRE)–Ares Management, L.P. (NYSE:ARES) announced today that real estate funds it manages has signed a definitive agreement to acquire the Kustermann Park office complex in Munich, Germany. The complex, consisting of two adjacent multi-tenanted office buildings totaling more than 74,000 square meters, is located in Munich’s South East office submarket and close to Munich’s third largest railway station.
Ares has been active in both commercial and residential real estate in Germany for 17 years. Earlier this year, it acquired a portfolio of two office buildings in Berlin and Hamburg as well as an add-on residential portfolio bringing the total number of residential units it owns to more than 2,000 across Germany.
“We believe that this office complex will continue to benefit from its location in Germany’s top office market and one of Europe’s top three office investment markets,” said Bill Benjamin, Partner in the Ares Real Estate Group. “We are also excited by the significant value-add potential for this property, including asset management opportunities in leasing and building improvements, as well as the positive trends in Munich’s South East office sub-market.”
Ares has retained the property’s existing manager, BLUE Asset Management GmbH, to continue as the manager of the properties based on its long term presence in the German office market, its strong track record and its familiarity with the asset.
Ares Management, L.P. is a publicly traded, leading global alternative asset manager with approximately $88 billion of assets under management as of June 30, 2015 and more than 15 offices in the United States, Europe and Asia. Since its inception in 1997, Ares has adhered to a disciplined investment philosophy that focuses on delivering strong risk-adjusted investment returns throughout market cycles. Ares believes each of its four distinct but complementary investment groups in Tradable Credit, Direct Lending, Private Equity and Real Estate is a market leader based on assets under management and investment performance. Ares was built upon the fundamental principle that each group benefits from being part of the greater whole.