Property investors MiddleCap and CPI Property Group (CPIPG) have jointly acquired three development sites in central Berlin for €30.6 mln.
The three sites will deliver over 150,000 sq ft (14,000 m2) of office and residential space.
Two of the three schemes are in Berlin’s Kreuzberg district, one of the city’s biggest creative hubs which has experienced strong growth over the past three years as an up-and-coming business destination. The schemes will deliver both office space and high-quality residential units.
The third site, which is located in the leafy central neighbourhood of Moabit, will deliver apartments and is located close to Berlin's most anticipated development, Europacity.
For Middlecap, the transaction marks its entry into the German real estate market.
Tomáš Jurdák, partner and head of real estate at MiddleCap, said: ‘The German capital has long been a target for MiddleCap, thanks to its solid economy and strong commercial market, which offers big opportunities in terms of investment and rental value.
‘As a pioneer for developing smart buildings with a focus on sustainability and wellbeing, we are committed to creating exemplary homes and offices across these three sites that set a benchmark within the city. We’re looking at new progressive ways of design, construction and technology and we have ambition to meet specific embodied carbon reduction targets.’
Oliver Schlink, member of the board of directors at CPI Property Group, added: ‘We are pleased that this acquisition will enable us to deliver high quality developments in areas well-positioned to experience increasing demand, particularly from office occupiers and residential for-rent tenants. As the largest commercial property owner in the city, we continue to have strong convictions in Berlin and we look forward to seeing the city fully reopen and begins its recovery from the Covid-19 pandemic.’