AXA Investment Managers - Real Assets (AXA IMRA) has completed the acquisition of an urban residential development in the German city of Dresden, for €100 mln, on behalf of ERAFP, the French Public Service Additional Pension Scheme.
The development, which will deliver close to 350 new homes, is located in Johannstadt which is east of the historical city centre.
Known as Guntzareal, the scheme is expected to complete in 2020 and will deliver 211 residential units and 137 fully furnished micro apartments, as well as commercial and retail areas which aim to serve the daily needs of the residential component. Approximately 50% of the retail area is already let on long term leases to major German retail operators, AXA IMRA said.
AXA IMRA currently has over €6 bn of assets under management in Germany including €640 mln of residential assets.
Sven Krumpholz, head of asset management & transactions in Germany at AXA IMRA commented: 'This major urban development will deliver new apartments to the growing yet supply-constrained local market in Dresden. We believe that our knowledge and track record in Germany, combined with our development expertise, will support the ongoing delivery and future success of this scheme.'