Patrizia Immobilien acquires EUR 800 million worth of German office properties
Real estate company Patrizia Immobilien would be buying 36 offices from another real estate firm CA Immobilien Anlagen. The deal has a price tag of EUR 800 million or USD 1.1 billion. Patrizia said it would be acquiring the buildings through one of its funds working on the behalf of its institutional clients in Germany.
Patrizia also disclosed that the buildings are located in Hesse, a state in the western part of Germany and that the offices were all under lease to the government. The deal was set to be completed within the year. The properties had a total space of 450,000 square meters or 4.8 million square feet.
In another statement, CA Immobilien Anlagen Chief Executive Officer Bruno Ettenauer said, "The current market environment is ideal for selling the portfolio."
According to Bloomberg, the demand for commercial properties in Germany had increased. Investors were looking for a safe haven for their money as Europe battles its debt crisis.