Peakside acquires residential development site for 300 apartments in Berlin-Mitte (DE)
Thursday 21 June 2012
Peakside Capital, a specialist European real estate private equity firm, announces that, on behalf of Peakside Real Estate Fund I (‘PREF I’), it has acquired a residential and commercial development site in Berlin.
The site, located in the northern part of Berlin–Mitte, in the increasingly popular Noto (North of Torstasse) district, has already been granted full planning consent for a residential and commercial development.
In order to capitalize upon the ongoing resilience of the Berlin residential market, Peakside has set up a joint venture with pantera AG, a well-known German residential property developer. Peakside and pantera intend to partially amend and re-submit the planning request to develop a €90 million residential only scheme comprising 300 apartments.
The site is ideally located for a high-end residential scheme with its close proximity to several large employers and the north campus of the Humboldt University Berlin. Demand for housing in the district is also set to benefit from the arrival in the next few years of the headquarters of the BND, the German intelligence agency, which will employ approximately 6,000 workers.
Furthermore, the site offers excellent access to public transport with two subway stations situated within close radius.
Boris Schran, Founding Partner and Head of Acquisition and Origination of Peakside Capital, commented: “Opportunities to secure such promising development sites in this increasingly popular part of Berlin are becoming even rarer as investors seek the stable cash flows that good quality residential properties can offer.
"For this reason, we are excited by the clear potential of the Noto site resulting from the attractiveness of its location and its close proximity to local amenities, public transport and major employers.
“This acquisition represents a great opportunity to deliver, in conjunction with our development partner, pantera AG, a high profile new residential project in this highly desirable location and thereby add to our portfolio of quality German residential assets. Furthermore, this transaction demonstrates our ability to source investments which display a clear potential to create value for our investors.”