Encore+ acquires office complex in Galluspark, Frankfurt
Encore+ has made its fifth acquisition in Germany, the office complex Galluspark 15-19 in Frankfurt am Main, for €39.25 million.
Encore+ is a pan-European open-ended Core+ fund, co-managed by Aviva Investors as Fund Manager and LaSalle Investment Management as Asset and Transaction Manager. The Fund continues to enjoy significant momentum in both capital raising and deployment, with total assets of more than €1.3 billion under management.*
The building is a seven-storey office complex with three wings, connected by two extensive atriums. The asset has around 18,700 sq m. of leasable space, with a standard floor plate of 3,400 sq m. The Gallus district is to the west of Frankfurt city centre, around the Mainzer Landstrasse, one of the most important arterial roads in the west of the city. Downtown Frankfurt is just three stops away on the S-bahn. As such, it benefits from very good transport connections and a good variety of amenities on offer in the immediate neighbourhood
Encore+ has a successful 11-year track record as a diversified, open-ended Continental European real estate fund, delivering stable and growing income alongside long-term capital appreciation, from an actively-managed portfolio. The three-year return for the Fund is more than 9.2% (as at 31 May 2017).
Jeffrey King, Fund Manager for Encore+ at Aviva Investors, said: “We are very pleased to be making an investment in Frankfurt, which is one of the key strategic target markets for the fund as a “future-proof” city where people want to work, live, play and learn. Gallus in particular is a submarket that has benefitted from a significant amount of both public and private investment and an increasingly affluent population. This acquisition increases our holdings in Germany, which is in line with the Fund’s strategic objectives, while adding strong quality income from two globally active tenants.”
Ian Williamson, Investment Manager for Encore+ at LaSalle Investment Management, said: “I am delighted that we have acquired this office building in Frankfurt, one of the highest ranked cities on LaSalle’s E-REGI Index of investable European cities. This is the third acquisition we have closed for the Fund in 2017 to date, and one which we forecast to deliver strong investment performance. The low rental levels and grade A specification building provide a strong platform for capturing rental growth as part of our business plan.
About LaSalle Investment Management
LaSalle Investment Management, Inc. (together with its global investment advisory affiliates, “LaSalle”) is one of the world’s leading real estate investment managers. LaSalle on a global basis manages approximately $58 billion as of Q4 2017 of private and public equity and private debt investments. LaSalle’s diverse client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals from across the globe. LaSalle sponsors a complete range of investment vehicles including separate accounts, open- and closed-end funds, public securities and entity-level investments. LaSalle Investment Management, Inc. is a wholly-owned, operationally independent subsidiary of Jones Lang LaSalle Incorporated (NYSE: JLL), one of the world’s largest real estate companies. For more information please visit www.lasalle.com.
This information is based on the market analysis and expectations of LaSalle and should not be relied upon by the reader as research or investment advice regarding LaSalle funds or any issuer or security in particular. The information presented herein is for illustrative and educational purposes and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy in any jurisdiction where prohibited by law or where contrary to local law or regulation. Any such offer to invest, if made, will only be made by means of a private placement memorandum. Past performance is not indicative of future results.