Investcorp's €80m German deal precursor to further buys

The Bahrain-headquartered alternative investment manager Investcorp has just made its first investment in Germany by buying Bürocampus Wangen in Stuttgart from a BEOS fund, for about €80m.

Investcorp partnered with Frankfurt-based Continuum Capital Investment Management to buy the office campus, which is in Stuttgart's business district. The seller was BEOS Corporate Real Estate Fund Germany 1, managed by Berlin specialist for industrial property BEOS.

The mixed-use property has 46,500 sqm of lettable space, with tenants including tech and automotive companies. It features good quality office buildings, state-of-the-art research and development, data and design centres, a restaurant, and conference rooms.

Investcorp said the campus is envisaged as a seed asset of its upcoming European real estate portfolio, building on a light industrial portfolio that it bought in the UK in 2017.

According to Mohammed Alardhi, the chairman of Investcorp, said in a statement, "This transaction represents the first investment in Germany by Investcorp and is testament to our ongoing European real estate investment strategy and business. Investcorp's leading expertise position in the US market, combined with the continued activity of our European team proves that we are well-positioned to diversify and broaden our product offering to clients.'

Investcorp's head of European real estate investment Neil Hasson commented, "The Campus is located in a submarket that has enjoyed strong performance in recent years and benefited from an automotive manufacturing presence. It is anchored by well-established sitting tenants. We continue to explore a range of interesting investment opportunities in Western Europe and look forward to executing further transactions in the months to come.”