Värde and Accom take over balandis German commercial portfolio

Global alternative investment firm Värde Partners and German family-owned real estate investment company Accom GmbH have taken over the German portfolio of Stuttgart-based balandis real estate ag, in a move which broadens Värde's footprint significantly in the German commercial real estate market. The price was not disclosed.

The balandis portfolio is the rump portfolio of what was the Dreiländerfonds (DLF) of Walter Fink, and consists of 37 commercial properties with 187,000 sqm of lettable space, mainly located in secondary German cities – many in smaller towns around Stuttgart, Rosenheim, Mainz, Frankfurt, Hamburg and Dresden. The properties are diversified in size and asset categories and include hotels, retail, office and mixed-use.

Balandis and its 50-man team will be absorbed by Accom, which will now add the Stuttgart HQ to its own existing offices in Hannover and Munich. The enlarged 100-man Accom will handle the asset management for the new entity and lay the ground work for further expansion.

BerlinHyp and HSH Nordbank are providing the primary financing for the deal, with HypoVereinsbank also providing further financing.

According to Constantin Sepmeier, CEO of Accom, “Our partnership with Värde enhances our portfolio of well-known international partners and taps the potential for more transaction and management services in German commercial real estate. Moreover, we add the strong expertise of the balandis’ personnel to our service portfolio and expand our presence in the German market significantly."

Värde has more than €11bn of assets under management worldwide, managing funds for institutions and high net worth individuals. It employs 240 people from its offices in Minneapolis, London and Singapore, and has been active in German real estate since 2006.