Aareal Bank subsidiary Aareal Asset Management (AAM) has acquired a residential portfolio for the Aareal German Residential Fund.
The portfolio, which comprises around 1,400 units including 60 commercial units located in Hamburg, Hannover, Rhineland and in the Rhine-Main was acquired from a subsidiary of the Allianz Group on behalf of GERES, Luxembourg.
Management of the portfolio will be taken over by Deutsche Bank and Grundstücks, (BauGrund), a 100% subsidiary of Aareal Bank, which specialises in the management of residential portfolios.
The seven-year fund aims to invest around €800m (£538) in German properties.
Charles Pridgeon, CEO of AAM, said further investments with a value of several hundred million euros are in the pipeline for the current fiscal year and the first quarter of 2007.
Currently AAM is in a number of advanced purchase negotiations to achieve this target.
Aareal Bank is listed in Deutsche Börse’s MDAX index. The bank has a presence in 16 countries with offices in Wiesbaden, Amsterdam, Paris, Milan and Stockholm, has €1.9bn (£1.2bn) in assets under management.
References: EGi News 16/10/06
