Financial details were not disclosed.

The properties, which were sold by Praemia REIM, are located in sought-after locations in Frankfurt, including Nordend, Niederrad and Eschersheim, targeting young professionals and families, with nearby local transport providing access to the city centre via the U/S-Bahn and tram system.

The portfolio offers a mix of one- to three-bedroom apartments spread across seven properties. Six of the properties are operational with an occupancy level of nearly 100%, while one building is currently under construction and is expected to be completed in the coming months. The portfolio also includes commercial and retail units, including an attractive tenant mix of restaurants, shops and education facilities.

Tobias Schnurer, investment director at AEW, said: 'This transaction offers a strategic opportunity to acquire a high-quality portfolio in sought-after locations in Frankfurt. There is strong demand for housing in Frankfurt, supported by the growing population, and we are confident that this high-quality portfolio will continue to attract strong interest from occupiers. This investment also sees us expand our remit for this mandate, demonstrating our ability to originate compelling opportunities for our clients. More broadly, we see strong potential in the German residential sector, and our ambition is to continue growing our activities in this area of the market.'

AEW was advised by Gleiss Lutz, TA Europe and Nova Ambiente.