BNP Paribas Real Estate Investment Management (BNP Paribas REIM) Germany acquired a mixed-use property in Leipzig for its European Impact Property Fund (EIPF). The asset features 196 furnished student apartments, a university facility and smaller office units and it totals around 11,000 sqm of rental area.
The apartments are located at Zschochersche Straße 69, Eduardstr. 8 and 10 and Industriestraße 59. They are let to SMARTments student, which is operated by the non-profit FDS Foundation. Their objective is to offer students furnished micro-apartments to stay at during the time of their studies.
In addition, the asset features 7,700 sqm of commercial space, which houses research facilities of the Leipzig University of Applied Sciences (HTWK). The university offers more than 40 programs of study and is one of Germany’s most research-intensive universities of applied sciences.
Finally, the rest of the asset is composed of two office units let to other tenants.
The mixed-use property was built in 1996 and renovated in 2019 and 2020. BNP Paribas REIM plans to further upgrade the space at the asset in the coming years with a focus on energy efficiency in line with the company’s own high ESG standards. Plans include reducing energy consumption by installing new LED lighting and a more efficient heating system.
Demand for affordable housing is particularly high in university cities like Leipzig. Furnished student apartments are a great way to improve the housing situation. SMARTments enjoys excellent access to public transport and Leipzig central train station is only 15 minutes from the property. Several universities are located in the immediate vicinity and recreational offers, including Clara Zetkin Park, are nearby as well.
Source : Company