Acquisition of a residential and commercial building portfolio in Leipzig with 97 residential units and 12 commercial units.
Deutsche Investment has acquired an attractive residential and commercial portfolio off-market as part of an individual mandate. The seven properties comprise a total of 97 residential units, 12 commercial units and 12 parking spaces on a total lettable area of around 10,800 m². The total investment volume is around 21 million euros.
The properties are located in sought-after district locations, including Karl-Liebknecht-Straße and Johannesallee, which impress with their lively infrastructure and excellent public transport connections. Around 85% of the rental space is residential space, while 15% is used commercially. A large part of the living space is over 60 m², which is particularly attractive for couples and families, a target group that is particularly affected by the housing shortage in Leipzig. This is also reflected in the high level of tenant loyalty: 54% of the leases have been in place for more than ten years, which indicates a stable and satisfied tenant clientele.
Most of the representative properties date from the Wilhelminian period. Six of the seven properties were built between 1875 and 1912, supplemented by a building from 1927. The micro-locations are characterized by a very good infrastructure and excellent public transport connections.
The commercial sector is divided into office (37%) and gastronomy (43%) uses. In particular, the catering areas, for example in Johannisallee or Karl-Liebknecht-Straße, are characterised by high visibility and good frequency. A further 20% of the commercial rental income is attributable to retail and practice space.
Deutsche Investment was advised on legal matters by VESTHAUS Rechtsanwälte and CBRE Berlin in relation to the technical report. Wüest Partner acted as evaluator.
With the acquisition of the Leipzig portfolio, we are securing a substantial investment in a growing metropolitan region. The combination of a stable tenant structure, attractive apartment sizes and sought-after micro-locations offers long-term potential – both in portfolio management and in terms of value development."
