Tristan fund & Cornerstone sell Halle-Neustadt Centrum to DIC Asset AG
Frankfurt, 28 July 2016 – A joint venture between Curzon Capital Partners III (CCP III), a core plus fund advised by Tristan Capital Partners, and the Management Team of Cornerstone Real Estate Advisers GmbH (“Cornerstone Germany), have sold a mixed use retail centre located in Halle, Germany to DIC Asset AG.
Cornerstone Germany acted as the asset manager of the property as well as the technical and commercial property manager and the centre manager with an experienced team on the ground.
The Halle-Neustadt Shopping Centre, which offers 30,700 sqm of retail, restaurant and leisure space is a dominant scheme in the local catchment area with nearly 5 million visitors per year and a high customer loyalty. The centre has a 99% occupancy rate with key tenants Real,-, Modehaus Fischer, Aldi, Medimax, Rossmann and Deichmann. The strong performance and tenant satisfaction have been proven by more than 55 leases having been renewed in the past 3 years, with the majority being renewed for ten years or more.
Halle (Saale) is one of the five largest cities of Eastern Germany with approximately 230,000 inhabitants. Together with Leipzig which is only 36 kilometers away, it forms a 50 kilometer area that is home to around 1.7 million inhabitants.
Karol Bartos, Executive Director at Tristan Capital Partners, said: “Over the past 3 years we have worked with our partners from Cornerstone on improving the positioning and tenant mix of Halle-Neustadt shopping centre which increased its dominance in the local catchment area. We are pleased to have delivered the business plan and realise our investment.”
Nick Puschkasch, Regional Head for the Eastern Region at Cornerstone Germany, added: “We have recognized the centre’s strong location and catchment potential. Our management team have worked on building on these fundamentals and increasing tenant performance. We are pleased to see tenant and investor recognition.”
DIC Asset AG was legally advised by Berwin Leighton Paisner LLC, while CCP III & Cornerstone were advised by Greenberg Traurig. JLL acted as agent for the vendor.