Union Investment has acquired the Kontorhaus am Wall in Bremen’s old town. The project was recently completed and comprises 86 serviced apartments. These are furnished apartments that have cooking facilities for self-catering. They are designed for longer stays (long stays) of up to six months. The purchase is for the real estate special fund Urban Living No. 1. The seller is the Corestate Group. The parties have agreed not to disclose the purchase price.
“Bremen still has comparatively few offers in the long-stay accommodation market. At the same time, there is an attractive demand potential due to the business and research companies located at the location. The micro-location of the Kontohaus am Wall is also very well suited for such a long-stay product. The distances to the city center including restaurants are short, the main train station can be reached quickly, as can the ramparts directly opposite, the central green area within Bremen,” says Henrik von Bothmer, Functional Head of Investment Management Micro-Living at Union Investment.
The apartments themselves are between 22 and 41 m² in size and are complemented by spacious communal areas on the ground floor and two roof terraces. Union Investment has already leased the Kontorhaus am Wall to the serviced apartment operator STAYERY for 20 years. The STAYERY houses offer a “temporary home” with hotel-like services and are particularly aimed at young professionals.
“The new location in Bremen fits in perfectly with our expansion strategy, which focuses on the urban centers of German growth locations with tourist attractions,” says STAYERY Managing Director Hannibal DuMont Schütte. “In Union Investment, we also have an institutional partner whose commitment shows how attractive STAYERY is as a concept and serviced apartments in general under today’s conditions of use. These are two good prerequisites for the new STAYERY in Bremen to become a success story.”
The Kontorhaus am Wall is already the seventh purchase for the Urban Living No. 1 special fund. The fund, which focuses on micro-apartments for different target groups, invests in newer portfolio properties as well as in selected project developments in Germany and other European countries.
Union Investment received technical advice on the transaction from C.P.H. Projekt- und Baumanagement and Arcadis, legal advice from GSK Stockmann Rechtsanwälte and tax advice from WATSON FARLEY & WILLIAMS. Apartmentservice Consulting from Berlin supported Union Investment in the market and location analysis.
The transaction was brokered jointly by Colliers Hotel from Berlin and Robert C. Spies from Bremen.
