AEW buys 90%-leased office property in Cologne
AEW has acquired a 22,000-square-meter (236,806-square-foot) multitenant office property in Cologne, Germany’s Zollstock district on behalf of a separate account mandate for an institutional German investor.
AEW purchased the asset, known as Trinity, from a Luxembourg special fund.
Trinity is located near Cologne’s city center and is close to public transportation. The asset is 90 percent leased to a variety of tenants, of which around 70 percent are public entities.
AEW views Cologne as one of Germany’s underrated investment areas with future growth potential, according to Lars-Henning Pylla, separate account fund manager at AEW. With Cologne’s office vacancy having recently dropped below the 3 percent mark, the firm expects to benefit by actively decreasing the property’s under-rented position.
AEW has managed the separate account mandate since 2017 and aims to implement an active core to coreplus strategy in attractive investment markets in E