We completed our first investment in Cologne with the acquisition of the property at Stolberger Straße 374 for our “Commodus Deutschland Fund II SCSp, RAIF” fund. The building has 9,000 square metres of lettable area, of which some 20% is currently vacant. Our overall objective is to sustainably establish itself on the Cologne market. Further purchases are in planning to help realize that goal. Within the scope of the transaction, we were able to draw on the consultation services of Jenckel Law, Brand Berger, Hellriegel and PKF.

We see Cologne as a truly promising investment location. A high demand for office space due to sustainable economic development, competitiveness on account of various research clusters and universities as well as a high quality of life ensure demand for modern office spaces. Our first investment in Cologne has the very clear objective of gaining a long-term foothold in the market.

Some 20% of the property’s office space is currently not let. This opens up opportunities for us to implement a new interior design concept, with a focus on utilisation concepts that adapt to the rapidly changing needs of innovative companies. Built in 1998, the property’s flexible structure allows for modern flexible-space offices with rental units of approximately 300 to 1,900 square metres per floor.

The location in Cologne’s Braunsfeld district has established itself as an alternative to downtown office locations through its accessibility via the public transport (Müngersdorf Technology Park S-Bahn station and tram along Aachener Straße) and its proximity to attractive residential areas. Braunsfeld is also home to one of the largest commercial zones in Cologne, the TechnologiePark Köln. More than 300 companies from various sectors have settled in this modern office and retail location. The district is now considered an attractive service provider location, especially for companies from the advertising and media industries as well as companies from the information and communications sector. Thanks to a large number of trendsetting project developments, this dynamic submarket will continue to gain in location quality in the medium term.

Abstract:

• First investment in Cologne; further deals planned
• High potential for value growth through optimisation of existing space and reletting
• Dynamic development of the Cologne-Braunsfeld office market