Newcomer Westcore buys Berlin complex, GE in debt deal
The San Diego-based Westcore has made its first foray into the German market with the purchase of the Anthropolis office complex in Berlin from Goldman Sachs’ Archon Group. The group plans further acquisitions in Germany, it said.
The Anthropolis office complex has 36,700 sqm of gross lettable space, of which 16,000 sqm are protected historic buildings. The current vacancy rate is 30%. Robert Roethenmund of Westcore Europe said his group plans to upgrade and rebrand the office park, which was built on a former AEG site between 1993 and 1997, at a development cost of €350m.
Westcore’s investing roots are on the West Coast, where it has traditionally focused on multi-tenant industrial and office properties at unit values of €20m upwards. It has more than €3bn of assets under management worldwide, and has already made initial investments in Austria and Switzerland.
The Westcore deal sees debt fund GE Capital Real Estate expanding its business into Germany, its first deal in the German market. It will provide a €16m facility to Westcore, with an additional loan to cover future capex. GECRE has made more than €4bn of loans in the last year in the UK, mainly in acquisition finance and refinancing of office and logistic/light industrial assets.
It now says it has identified German as one of the core markets to provide senior lending up to 75% LTV. The ticket size for single assets is between €15m and €100m and for portfolios between €50m and €400m. According to Frank Roseen, GECRE’s managing director for Germany and CEE, “We are looking to lend around €1bn in Germany in the next 18 months”.