Union Investment has agreed to pay €86 million ($96 million) for two planned hotel properties in Poland as the seed portfolio for the new special fund UII EuropeanM.
According to Union Investment, The UII EuropeanM fund invests predominantly in the four commercial use types of office, hotel, logistics and retail, focusing on midscale properties in European real estate markets.
The fund follows a core and core-plus investment strategy and has a target size of approximately €1 billion ($1.1 billion).
“The risk-return profile of the fund is designed to make it possible to exploit investment opportunities in European real estate markets that are not covered by a traditional core profile,” said Wolfgang Kessler, a member of the management board of Union Investment Institutional Property GmbH. “For several years now, Union Investment’s UII GermanM special fund has provided investors with a similar vehicle but focused on the
