The fund is managed by Universal-Investment as AIFM in Luxembourg. The property is being developed into one of the most modern urban quarters in Germany by the Düsseldorf-based Gerchgroup as seller. The investment volume of this forward deal amounts to more than €300 million. Corestate is consistently expanding its new product focus on urban quarters and intensifying its investment activities in the "core" segment. Gerchgroup will build the project from next year and hand it over to the buyers as a turnkey project.
Lars Schnidrig, CEO of Corestate Capital Group: "This urban district development is currently one of the largest in Germany and is a good example of new types of use on top-location urban building sites in conjunction with the increasing demand on the customer side for innovative mixed concepts for residential, infrastructure and commercial use. Here, we develop sustainable and profitable investment solutions for our institutional clients on the basis of our excellent product access to large real estate projects in A-cities and our very broad experience in active asset management. Due to the megatrend urbanisation and the associated densification in the conurbations, the asset class of urban quarters will continue to gain in importance and we will actively shape the modern living, living and working space in the major German cities with further exciting projects from our pipeline".
"A sale of this scale in these turbulent times is proof that quality always prevails in the end and we are very pleased that we have succeeded in selling the first construction phase of this quarter development despite the circumstances", says Marc K. Thiel, CEO of the Gerchgroup. The other building plots of the overall project with a gross floor area of almost 200,000 m², most of which will be developed for residential use, are also to be sold upon completion.
In total, the property, which for many years was the showcase location of the Quelle mail order company, comprises more than 51,000m² of rental space, of which the City of Nuremberg rents approx. 42,000m² for 25 years. The remaining space will be leased long-term to retailers in the food and local supply sectors. The project is scheduled for completion in 2024, with around 2,000 residential, additional retail and catering units and a day-care centre for children also planned in three other construction phases.
The legal advisor to the buyer was Zenk Rechtsanwälte and Rotthege Wassermann acted for the seller.