PATRIZIA AG, a leading partner for global real assets, has sold two office properties in Berlin to Real I.S. AG on behalf of TransEuropean VI LP (“TEP VI”). Following these disposals, just under 30% of the TEP VI portfolio has now been realised, taking the Fund’s combined realised IRR to 48% per annum and delivering an equity multiple of 3.4x to date.
The latest TEP VI disposals comprise an 8,600 sq m property on Warschauer Straße, in Friedrichshain, and an 9,500 sq m asset on Chausseestraße, the northern extension of the well-known prime office and retail address, Friedrichstraße. Following the completion of active asset management plans, including the full refurbishment, the extension of the Friedrichshain property and highly successful lettings campaigns, the offices are now the German headquarters of Nike and Swedish bank, Klarna respectively.
The sales mean TEP VI is on track to exceed its target returns, following the previous disposal of a French logistics portfolio to a major financial institution. PATRIZIA closed the latest fund in the series, TransEuropean VII (“TEP VII”), in July 2020 with an investment firepower of approximately EUR 1.9 billion, of which over EUR 1.0 billion has already been committed. As with its predecessors, TEP VII is focused on a cash-flow driven, value-add strategy across the office, logistics, residential and retail sectors in both Europe and the UK, benefiting from PATRIZIA’s operating platform approach.
The TEP series of funds was first launched in 1992 and has invested over EUR 2.8 billion in 13 European countries. Since 2009, the current fund team has generated a 24.1% IRR pa*.
Source : Company