The Commerz Real open-ended real estate fund Hausinvest intends to invest around two billion euros in residential real estate within the next four to five years. In order to attain this objective Commerz Real is cooperating with the residential specialist Wertgrund Immobilien. As the two companies announced, Wertgrund will accompany the transactions, and be responsible for the entire asset and property management. The purchase decision and the fund management remain the responsibility of Commerz Real.
Investments are to be made not only in existing properties, but mainly in new larger construction projects with a minimum volume of approx. 50 million euros in German metropolises as well as in growing medium-sized and university towns. In this respect the focus is on affordable residential properties, including publicly subsidised housing. In the long term, investments in individual European markets are also conceivable.
“Residential real estate is a very interesting asset class and excellently suited to further diversifying the portfolio of hausInvest,” explains Andreas Muschter, the Chief Executive Officer of Commerz Real. “On the one hand our investors profit from the experience and market access of a successful specialist such as Wertgrund, on the other hand from the familiar high quality of our fund management.” To date Hausinvest, which currently has assets under management of approx. 14.4 billion euros, has primarily invested in commercial real estate, with residential property as an addition in individual properties.
“With the capital strength of Commerz Real and our expertise in the field of residential real estate we intend to develop a residential real estate portfolio throughout Germany and Europe in the medium to long term. In this respect we set great store by partnerships with project developers and local councils above all. The first projects are already in the exclusive acquisition assessment phase,” is how Thomas Meyer, a member of the board of Wertgrund Immobilien, explains the co-operation with Commerz Real.
Source : Joint Press Release