AEW, a leading global real estate investment and asset management platform, has completed the second disposal on behalf of Europe Value Partners (“EVP” or the “Fund”), its pan-European value add strategy. The office asset was acquired in December 2018 in a JV with Catella Asset Management Germany (CAM) and was sold to a private German investor.
The asset is located on Blasewitzer Strasse, east of Dresden city centre, and was acquired as part of a strategy focused on the growth potential in the Dresden market. Located 10 minutes from the city centre by public transport and providing flexible office accommodation, the building was well placed to satisfy the growing demand for offices as a result of the fast growing local economy.
The property comprises a total lettable area of approximately 16,200 sqm over five floors together with 170 basement car parking spaces and at the time of acquisition was significantly under-rented, with a short WAULT providing potential for rental uplift. During the 15 months of ownership, 70% of the leases have been renegotiated increasing the WAULT from 3.5 to 5 years and establishing ERVs some 50% above passing rents at time of purchase.
Source : Joint release