Within the framework of this cooperation, Union Investment raised the necessary equity from among its broad network of institutional investors and will handle the administration of the fund under a third-party AIFM mandate. redos is responsible for key areas of fund, asset and transaction management.
The target volume of the new special AIF is initially EUR 600 million. Just like its predecessor “Redos Einzelhandel Deutschland”, the new fund is designed for professional and semi-professional investors.
In western Germany, redos has already bought ten retail parks for the new fund. The uniform “Bordeaux” portfolio has a total rental area of around 101,000 m2 with an occupancy rate of 98 %.
The properties are located in towns and cities such as Hanau, Kehl, Mülheim an der Ruhr and Mannheim. Tenants include Kaufland, Edeka, real,- and REWE – long-term leases are in place for all the properties let by retailers.
“Outstanding starting portfolio”
“Bordeaux” was sold by the global real estate investment manager Invesco Real Estate for AEW Ciloger, a subsidiary of AEW. Invesco Real Estate has been actively managing the retail portfolio since 2010, anticipating the increased interest in retail parks since its acquisition. It has been agreed not to disclose the purchase price of “Bordeaux”.
All ten properties in the Bordeaux portfolio were built between 2008 and 2010 and are therefore in excellent condition. They are located centrally within towns or cities or at established outlying districts with large catchment areas. The portfolio was originally developed by Hanseatische Betreuungs- und Beteiligungsgesellschaft mbH (HBB).
“With ‘Bordeaux’ we have secured an outstanding starting portfolio for our new special AIF. Such quality is rare on the market today. Naturally, we are all the more pleased that in these highly competitive times we were successful among a large field of bidders,” said Torsten C. Wesch, Managing Director and Head of Fund Management at redos. The portfolio will now be further developed in a close dialogue with the tenants. “We feel there is great long-term potential here,” explained Wesch.
At the same time, planning is already under way for the next purchases. The new “Redos Einzelhandel Deutschland II” special fund will gradually be expanded further.
redos was advised by the law firm Noerr in the acquisition of the “Bordeaux portfolio”. The transaction was overseen for the seller by Invesco Real Estate, JLL and Clifford Chance.