German fund manager Commerz Real Capital Management has acquired a residential and commercial project in Cologne from the property's developer, Kreer Development.
Financial details were not disclosed.
The 5,400 m2 scheme, scheduled for completion in 2022, will be built in the Ehrenfeld district of the city for Commerz Real's special fund, CR institutional smart living.
Situated at 202 Vogelsanger Strasse, and designed by Astoc Architects & Planners, the property comprises a student accommodation block to be managed by Pro Immobilia (3,200 m2, 159 apartments), 30 Stayery-branded serviced apartments (700 m2), and a store to be leased long-term to a nationwide discount supermarket chain (1,200 m2), plus three to four smaller commercial units (300 m2 in total).
There will also be 54 underground parking spaces for the building’s residents, and 30 outdoor parking spaces for supermarket customers.
The turn-key project represents the second deal agreed by the two companies. In June 2017, Commerz Real purchased a student and apartment building in Bonn for the same speciality fund, with the first occupants taking up residence in May of this year.
According to Commerz Real, Ehrenfeld has evolved from an industrial and working-class district into a residential area popular with artists and students, attracted by a lively cultural scene and the many local public houses and bars.
The CR institutional smart living fund also holds assets in other German cities, including Berlin, Bonn, Düsseldorf, Essen and Hanover. The open-ended special alternative investment fund has a mandate to channel some €300 mln into student and micro-apartments in Germany on behalf of professional and semi-professional investors.
Commerz Real received legal advice from specialist commerical lawyers Noerr, while Kreer was advised by Taylor Wessing.