Switzerland-based real estate investor Corestate Group has acquired a 6,500 m2 site in Vienna for student flats.
The company is planning to develop high-quality student accommodation and estimates the market value for the completed project at €80m.
The scheme will comprise 25,000 m2 of student accommodation space as well as 1,000 m2 of retail space. In addition the building will provide low-cost office space for start-up businesses from the Vienna University for Economics and Business, WU Wien.
The site is part of the Messecarree urban development project located near the new campus of WU Wien, the Austria Center Vienna and the leisure and amusement park Prater.
The Messecarree project was created by Prisma, a joint venture of companies active in Austria, Germany and Switzerland in collaboration with Wiener Messe Besitz, the operator of Vienna’s exhibition centre.
Chairman and founder of Corestate Capital, Ralph Winter, said: “This project illustrates our appetite for unique investment situations across Europe. Corestate and its co-investors follow a strategy of creating value in the different stages of the life of assets and across varying asset classes.
“For the time being, the most compelling returns are found in niches that only a limited number of professional investors have access to. We see immense potential for student housing projects in economically sound European countries.”
