Garbe acquires retail investment platform GRR Real Estate

Garbe Institutional Capital has acquired operating company GRR Real Estate Management from GRR  along with more than 80 team members.

Financial details were not disclosed.

The platform for retail investment focuses on supermarkets and neighbourhood retail parks, in particular food-anchored parks, and brings around 500 managed assets.

According to Garbe, the transaction will grow its assets under management (AUM) for institutional funds and mandates by €2 bn.

The 52 on-balance-sheet properties held by GRR will be acquired by Garbe Institutional Capital on behalf of an institutional fund. The business will continue to operate as an independent company within Garbe under the established GRR brand.

Christopher Garbe, managing partner of Garbe, said: 'With the acquisition of GRR, we are taking another key strategic step towards establishing our leading and vertically integrated platform based upon a 360-degree management approach.

'As an active real estate manager, we are expanding our organisation’s resources and expertise into the retail real estate segment, spanning the entire value chain all the way to the end customer.

'By doing this, we will create significant added value not only for our investors but also for our tenants. The food retail sector fulfils a systemically important role in Germany and throughout Europe.'

He added: 'GRR is a recognised leader in this market segment, where it has built an excellent reputation.'

Andreas Freier and Martin Führlein, members of the Executive Board of GRR, added: 'By bringing GRR Real Estate Management into the Garbe family of companies, we are setting the course for strong future growth.

'With our sustainability strategy, we have successfully begun the ESG transition. At the same time, we are driving forward the sustainable development of our portfolio segment.'

GRR Real Estate Management was founded in 2006 as an operating subsidiary of GRR. In 2009, a group of institutional investors from the insurance industry invested in GRR by way of Provinzial Asset Management, accelerating its growth.

Within the Garbe group of companies, Garbe Institutional Capital focuses on asset classes beyond logistics. The company is active in food-anchored retail as well as the residential and science & technology real estate sectors.

The transaction, which is subject to approval by antitrust authorities, is expected to close shortly. Garbe was advised by Greenberg Traurig (legal), Gleeds Deutschland (technical) and HLB Stückmann (financial and tax). The seller was advised by Rödl & Partner.



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