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Sign in Sign up for a FREE subscriptionCatella European Student Housing Fund II makes Berlin and Greater Paris acquisitions
Berlin-based Catella Residential Investment Management (CRIM) has expanded the investment volume of the Catella European Student Housing Fund II (CESHF II) to approximately €150 million ($178 million) with the acquisition of two student residences in Berlin and Greater Paris for approximately €60 million ($71 million).
The latest deals follow hard on the heels of the fund’s second closing in May, when it raised €45 million ($54 million). Less than 10 months since its launch, the fund has now acquired six properties with almost 1,500 residential units in four countries across Europe, with a projected internal rate of return (IRR) of 5 percent per year and a direct income return of 3.5 percent. CESHF II is the successor of Catella’s first European Student Housing Fund, which has generated an IRR of 7 percent per year since its launch in 2013 until mid-2020.
Michael Keune, managing director at CRIM, said, “The market for education and thus also for student hou