PGIM Real Estate has bought a Berlin office tower for an undisclosed sum as part of a forward deal on behalf of German and Swiss institutional investors.
The building, currently under construction, was bought from real estate investor Signa and is located at the Mercedes-Benz Arena near the centre of the city.
Once built, the office tower – called Stream – will stand around 90 metres tall with a total floor area of around 50,000 sqm housing around 2,500 workspaces.
Sebastiano Ferrante, head of Germany and Italy at the firm, said: “Berlin is an exciting market that offers a lot of potential in the office segment. This is primarily indicated by the continuing demand from tenants, combined with a limited supply.”
The main tenant of the tower – which is scheduled to be completed in 2021 – will be e-commerce company Zalando, which is headquartered in the German capital.
Earlier in December, PGIM Real Estate acquired an office portfolio in Berlin in a joint venture with Irish-based Signature Capital.
©2019 funds europe
