IVG’s EuroSelect 21 Munich closed-end fund has attracted subscriptions of €100m since its January launch.
The fund was established by IVG Private Funds to hold a complex occupied by insurer Allianz and has a planned fund volume of €205m. IVG has forecast annual returns of 5.5%.
The Allianz site was established 20 years ago in the Unterföhring district of greater Munich, between the city centre and Franz Josef Strauss Airport, and Allianz’s lease runs until 2024. The buildings have a total floor space of 131,000 m2.
The site is one of Allianz’s largest facilities in Germany and includes an administrative building and an operations centre that accommodate 6,300 people, although the insurer plans to add capacity for another 1,500 people by 2014.
The investment volume of the fund is about €330m including limited liability capital of €205m, a 5% premium and debt of €115m.
IVG Immobilien is investing over €21m in the fund over the long term.
