Private equity property investment group CORESTATE has announced the final close of its German Commercial Properties Fund.
The Switzerland-based group said that including a commitment from a large Finnish financial institution, the fund’s expected investment volume is around €400m.
The German Commercial Properties fund, which was launched before the financial crisis, invests primarily in office and retail properties in large urban areas of western Germany, Switzerland and Austria, which have “solid economic fundamentals”.
Following a “value-add” and “opportunistic” investment style, the fund has the ability to acquire direct property, real estate holding companies and invest in distressed situations of a corporate nature, including preferred equity and mezzanine investments.
CORESTATE chief executive Phillip Burns said: “We continue to see attractive opportunities emerge from the core European markets, largely due to the ongoing distress.
“We are very pleased to have secured this additional commitment, which will enable the fund to capitalise on the current and upcoming market opportunities.”
bridget.oconnell@estatesgazette.com
