January 3, 2017—Hines, the international real estate firm, has completed the acquisition of Stuttgarter Tor, a complex consisting of three 100-percent-leased office buildings and a fourth vacant obsolete building in Stuttgart, from a private seller.
Hines’ Stuttgart office advised HEVF on the acquisition, which was notably the first acquisition for Hines’ new flagship European Value Add Strategy Fund (HEVF).
With a prime location in the Feuerbach office submarket of Stuttgart, Stuttgarter Tor offers 14,822 square meters of modern office space. The asset is effectively fully leased to a strong tenant base including Robert Bosch GmbH and law firm Menold Bezler. The fourth, obsolete building in the complex presents a potential redevelopment opportunity for the investment.
Emanuel Coskun, director, Hines Germany, remarked: “As a long-term local investor across Stuttgart, including in the immediate neighborhood, we are firm believers in this strong corporate submarket. We are delighted to advise the Hines European Value Fund on its first portfolio acquisition in this high-quality office asset with an unobstructable view across the city and the Höhenpark Killesberg.”
Paul White, Fund Manager, HEVF, said: “We are very pleased to acquire Stuttgarter Tor as HEVF’s first project investment. The asset perfectly matches the fund’s strategy to invest in projects with opportunities to actively create value applying Hines’ core skillset, while simultaneously offering downside protection through its full occupancy and strong tenant base in an office location with virtually no vacancy.”