Hammerson have raised their stake in the German property market with the purchase of two retail development properties in Bremen and Essen from the Hertie stores group for £30m.
The Bremen site is at Obernstrasse 55-7, adjoining a site being redeveloped by C&A, and the plan is to redevelop with a total of 120,000 sq ft of retail and office space. The covered and pedestrianised retail element will amount to about 80%, although the number and sizes of units has still to be decided.
According to Weatherall Green & Smith, who are agents for both schemes, there is already strong interest from retailers.
In Essen, the plan is to redevelop the site at Kettwigerstrasse 47, in the city’s pedestrianised shopping area, to provide shops and offices amounting to 130,000 sq ft. Of this, the retail element will again amount to about 80%. Completion of the Essen scheme is not expected until 1988.
It is thought to be unlikely that Hertie will take space in either development.
Hammerson estimate that the completed developments will raise the value of their West German interests to over £75m.
