Arbireo-led consortium buys €100m German office package

The Frankfurt-based independent investment manager Arbireo Capital has joined with local German group denkmalneu and a German family office to buy a Germany-wide office portfolio for about €100m from an unnamed seller. The package consists of four properties in four cities with 110,000 sqm of lettable space.

Arbireo board member Ralf Kind said that Arbireo acted as an advisor and also co-investor on the deal for the four properties, all of whom share a single tenant, a DAX-30 industrial company. “A part of the portfolio is suitable for conversion into residential properties.  In addition, we are verifying the possibility of developing residential pojects on some of the land plots embedded in the portfolio. The other part of the portfolio is yielding stable cash flows from a strong tenant.”

Kind, a veteran of several sizeable residential portfolio deals from his time at Barclays Capital, said that his team was working on several other investment deals of this sort. “Our pipeline for this product category alone comprises currently around €300m, which we want to realise together with investment partners”, he said.

Along with operating partner, the residential property advisory Dr. Lübke & Kelber in Frankfurt, Arbireo offers services in asset management and specialist advice on M&A and capital markets, mainly for the buying and selling of real estate.