Sirius buys mixed-use property in Germany

File picture: Richard Vogel/AP

File picture: Richard Vogel/AP

Published Jul 29, 2019

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CAPE TOWN - Sirius Real Estate, a workspace business park operator in Germany, said on Friday that it had made two acquisitions worth 51.7million (R820m). 

In Alzenau, 34km east of Frankfurt am Main, Sirius acquired Alzenau Business Park for 44.5m in cash, using proceeds from recent asset recycling activity. 

The mixed-use property comprises eleven buildings providing 60000m² of lettable space (47percent is warehouse/production space; 47percent offices; and 6percent is other space), as well as 1063 parking spaces. It is 93.5percent let to 16 tenants with annual operating income of 3.5million as at July 2019. 

In Bochum, a city in the Ruhr region of Germany, Sirius acquired an office building for 6.7m, to be settled in cash. 

The building is adjacent to the Bochum Business Park acquired for 25.7m in March 2019. The property provides 4200m² of lettable space (81percent office space, 15percent storage and 4percent service space) and 71 parking spaces. 

It is 100percent let, producing annual net operating income of 370000 as of July 2019 based on figures made available by the vendor. 

Sirius Real Estate chief executive Andrew Coombs said the acquisition of Alzenau Business Park was the largest single transaction since the current management took over at Sirius, reflecting a broader range of asset size as well as an increased strength in the pipeline. 

BUSINESS REPORT 

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