German's Hahn Gruppe plans €250m new retail funds

The listed Hahn Group, one of Germany's leading retail property asset managers, has ambitious plans for 2016, including at least three new funds vehicles targeting at least €250m.

The group, based in Bergisch Gladbach near Cologne, invested €155m last year in its institutional fund business, while selling assets worth €205m, including a big joint venture portfolio in the third quarter. Overall the group signed new lease agreements of 150,000 sqm.

Chairman Michael Hahn commented, “In 2016, we are planning to launch at least one institutional and two further mutual AIF funds. New investments in the funds business are to reach up to €250m.” He sees especially good prospects for large-scale retail across all risk categories.

Just before Christmas Hahn bought a 13,400 sqm retail park in Landshut in Bavaria for its HAHN FCP-FIS German Retail Fund. The centre has been occupied on long-term leases by DIY store Bauhaus and discount grocer Penny Markt since the park opened in 2005. The seller was asset manager Estama Investment Management on behalf of its principal, the London-based Edinburgh House. This brings the HAHN FCP fund up to €600m of assets with 30 large-scale retail properties, on which it is offering investors a target IRR of 8%.

Founded in 1982, Hahn manages around €2.4bn in mainly third-party assets through funds and projects. It has issued over 170 real estate funds.