Heitman, a real estate investment management firm, has agreed to acquire a residential development in Dresden, Germany. The seller is CG Gruppe AG, a German developer of rented-residential assets. No financial terms were disclosed.
London, Jan. 15, 2019 – Heitman LLC (“Heitman”), a global real estate investment management firm, today announced that it has entered into an agreement to purchase a residential development in Dresden, Germany, on behalf of an affiliate of the firm. Heitman acquired the development from CG Gruppe AG, one of the leading developers of rented-residential assets in Germany.
The development (“Carré Löbtau”) is located on the southern edge of the Friedrichstadt district among a number of historic buildings and amenities located within its immediate vicinity. The locale provides access to a variety of public transport options, including tram, bus, and train lines, that provide connection to Dresden’s city center and ample connections to all areas of the city.
The property is composed of 148 residential and two to four commercial units with flexible floorplans. The residential units will include a mix of one-bedroom, two-bedroom, and three- and four-bedroom units, which will include a terrace, loggia, or a balcony depending upon the specific layout. Upon completion, the property will also include 116 parking spaces.
“We are pleased to complete this acquisition and add this residential asset to our pan-European property portfolio. The living sectors, which include rented apartments, student, and senior housing, represent an attractive combination of stable income and growth for a European or global portfolio,” said Tony Smedley, Heitman Managing Director and Head of European Private Equity.
“This rented-residential asset is consistent with our strategy of investing in undersupplied sectors and growing urban environments that position our portfolios to capture long-term growth, while also providing defensive characteristics during this late stage in the cycle.”
Founded in 1966, Heitman LLC is a global real estate investment management firm with approximately $43.5 billion in assets under management. Heitman’s real estate investment strategies include direct investments in the equity or debt capitalization of a property or in the securities of listed and publicly traded real estate companies. Heitman serves a global client base with clients from North American, European, Middle Eastern and Asia-Pacific institutions, pension plans, foundations and corporations and individual investors. Headquartered in Chicago, with offices in Los Angeles, London, Luxembourg, Frankfurt, Munich, Warsaw, Hong Kong, Seoul, Tokyo, and Melbourne, Heitman’s more than 325 employees offer specialized expertise – from a specific discipline to local insight.