PGGM and Rockspring launch €250m Berlin JV
PGGM Private Real Estate and Rockspring Property Investment Managers have launched a new joint venture to invest in Berlin value-add offices for companies in dynamic sectors including media, telecommunications and technology.
Total initial funding for the joint venture is €250 million ($283 million), with the joint venture’s first acquisition having recently been closed in Kreuzberg.
PGGM and Rockspring are aiming to respond to the demand from fast-growing technology companies with a media, IT and telecommunications focus for modern, flexible office solutions in tech hot spots within the German capital, such as Kreuzberg, Mitte, Friedrichshain and Mediaspree.
The venture will focus on existing real estate assets that provide the opportunity to add value in terms of both improving sustainability and creating services and facilities that contribute to a healthy environment in and around the office.
The joint venture expects to close four to six transactions during the next 18 months. Its first acquisition, comprising a former factory site at Ritterstrasse 12-14, totals 99,781 square feet.
The new joint venture is part of PGGM Private Real Estate’s policy to set up strategic partnerships with prominent real estate managers that have a proven expertise of specific local markets in the most dynamic urban areas in Europe, America, Asia and Australia.