Blackstone Real Estate, the New York-based private equity real estate giant, and Quantum, the Hamburg-based investment management firm, have acquired the Treptowers 3 building in Berlin for a figure understood to be in the region of €230 million.
The 968,000 square foot office building is based in Mediaspree, a fast-growing sub-market in Berlin next to the River Spree, and is fully leased to insurance firm Allianz. The 125-meter high asset is the tallest office building in Berlin and is understood to generate approximately €13.9 million in annual income.
The joint venture between Blackstone and Quantum will oversee the management of the property. The seller was Cologne-based real estate firm Deutsche Office.
Anthony Myers, head of European real estate at Blackstone, said: “We are delighted to make another investment in Berlin. Treptowers will form an integral part of our German office portfolio which focuses on high-quality assets in prime locations across Germany’s largest cities.”
Blackstone’s most recent deal in Europe was the June purchase of the Blanchardstown Centre retail complex in Dublin for €950 million.
The firm’s current German portfolio comprises almost 3.5 million square feet and includes assets in Frankfurt, Hamburg, Munich, and Dusseldorf.
Quantum is a development and management investment firm founded in 1999. The business manages €4 billion of real estate assets for institutional investors.
The buyers were advised by CBRE, Clifford Chance and PwC. Law firm Freshfields, Bruckhaus and Deringer advised the seller.