Corestate creates €200m European residential fund

Corestate Capital Holding S.A. has created a special fund with a target volume of €200 million ($239 million).

The fund will invest in serviced apartments in major German and European cities, such as Vienna. Structured for a large German insurance company, the fund will focus on fully equipped and furnished studio and one-bedroom apartments.

For the first asset of the individual fund, Corestate has invested in one of three residential towers of a new construction project, TRIIIPLE, in Vienna. By 2020, the developer will build 670 serviced apartments for young professionals and commuters, along with office and retail space.

The firm will be handling the investment and asset management. And it will also be responsible for the property management of the buildings through a subsidiary, UPartment Real Estate GmbH.