WP Carey makes EUR22m acquisition of Adler Modemarkte HQ and flagship store
CPA:17 – Global, one of WP Carey’s publicly-held non-traded REIT affiliates, has acquired the office headquarters and key retail facility of Adler Modemarkte in Haibach, Germany.
The total acquisition cost of the facilities was approximately EUR22m.
Adler is one of Germany's most prominent clothing retailers and has a leading position in the market for customers aged 45 and over. It operates 169 stores across German-speaking Europe with approximately 4,400 employees.
The facility comprises Adler's headquarters and flagship store and will be subject to a 20-year, triple-net lease. Located along an important retail corridor, the facility is a critical asset to Adler and additionally houses its central IT infrastructure and data centre.
WP Carey was advised by Reed Smith on the transaction.
Jennifer Lucas, director of WP Carey, says: "Germany is an important European market for CPA®:17 - Global, and Adler, having developed a loyal customer base across German-speaking countries, is a leader in the highly competitive retail industry. Given Adler's position within the industry, solid financial base and the criticality of the asset to its operations, the acquisition fits perfectly with our established investment strategy."