Credit Suisse Asset Management has bought a central Berlin office building from Barings for an undisclosed sum.
Barings sold the asset earlier than planned in order to take advantage of the current strength of the Berlin market and deliver “attractive” returns to its unnamed client, according to the firm.
The building’s current tenant, energy company Vattenfall, is set to vacate and move to new headquarters in the German capital.
Holger Herb, regional head of real estate at Credit Suisse AM, said: “The Berlin office market is characterised by historically low vacancy rates. Large areas available at short notice are limited, especially in prime locations.”
According to Herb, the 19,400 sqm office building offers repositioning potential that can be realised in the short to medium term.
Barings head of transactions Europe, Gunther Deutsch, said: “The market in Berlin remains strong and forms an important part of our European strategy, which will continue to focus on logistics, office, as well as residential and student housing in 2020 across the risk spectrum from core to value add.”
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