Barings acquires Munich office building
Barings Real Estate has acquired an office building at Perchtinger Strasse 8-10, in the Obersendling district of Munich.
The asset was acquired in an off-market transaction, at the same time as the conclusion of a long-term anchor lease to Music Support Group (MSG) and the Akademie Deutsche Pop. The property was sold by two private investors.
DLA Piper provided legal advice to Barings, taxation advice was by Deloitte.
The office building is situated in a positively developing location south of Munich city centre, close to 1,100 new residential units, two hotels and several newly constructed retail properties. The building provides a lettable area of over 10,000 square metres, about 3,000 square metres of which will be occupied for the long term, by MSG as its head office and by the Akademie Deutsche Pop as teaching rooms. There are 137 parking spaces in the two-level underground car park.
Christoph Wittkop, Managing Director and Country Head of Germany for Barings Real Estate, says: "This property exactly matches our approach of investing in locations and properties with potential. By applying active management, we can generate sustainable value growth for our investors."
Gunther Deutsch, Managing Director and Head of Investment Transactions Europe at Barings Real Estate, adds: "This transaction marks the first investment for Barings’ European value add strategy in the important German market. We have already invested in a retail property in Finland, an office building in Milan and in a logistics forward funding transaction in France. Our objective continues to be the acquisition of value-add properties in the office, retail and logistics sectors in Europe."