2 March 2020
Joint venture between Union Investment and Service KVG HANSAINVEST acquires KONRAD campus property in Munich
Union Investment has acquired a 50 per cent share of the KONRAD campus property in the east of Munich as part of a joint venture transaction. The property comprises around 38,000 sq m and the acquisition is being made on behalf of the Urban Campus Nr. 1 special AIF established jointly by Union Investment and Investa Capital Management (ICM). The joint venture partner is Service KVG HANSAINVEST, which administers LBBW Immobilien’s Germany Diversified Core+ special fund. The vendor is investment company Ardian, which has successfully repositioned the office complex in recent years. The parties to the transaction agreed not to disclose the purchase price.
The KONRAD campus property consists of the heritage-protected “Wappenhalle” hall, dating from 1939, and ten interconnected buildings grouped around a central courtyard. Parking for 544 cars is also available. At the time of acquisition, the property had 30 tenants and an occupancy level of 98 per cent. As with all properties in Urban Campus Nr. 1, Investa Real Estate will handle on-site property and tenant management as the campus manager. The 50 per cent stake in KONRAD is the fifth acquisition for Urban Campus Nr. 1, following four single-asset deals in Fürth, Nuremberg, Constance and Mannheim. LBBW Immobilien’s Germany Diversified Core+ special fund holds seven other properties in addition to this joint venture.
KONRAD is located in the Technologiepark West complex, which forms part of the regenerated Messestadt Riem district and has excellent links to the nearby A94 motorway. Union Investment already owns the Riem Arcaden ensemble at the same location, which was completed in 2004 and most recently extended in 2018 to comprise 122,500 sq m of rental space.