“Eidelstedt retail park has generated stable rental income for the fund for around 17 years”, says Carsten Thiel, Head of open-ended real estate funds at Union Investment. “The profitable sale demonstrates the resilience of grocery-anchored retail real estate as an asset class and attests to the quality of our commercial property portfolio. This sale is another example of our commitment to active management of the fund. We have further reduced the age of the portfolio and proactively created additional liquidity buffers in a highly dynamic investment environment.”
Built in 1967, the retail property was extensively restructured in 2005 as a retail park. It offers total rental space of around 14,672 sq m and is currently 100% let. The anchor tenant is food retailer EDEKA.
“Demand for grocery-anchored retail real estate, which represents a liquid asset class even in the current market environment, is stable. We see this as an opportunity to realize further strategic disposals and diversify our portfolio through selected acquisitions in Europe,” adds Laura Roll, Senior Investment Manager Retail at Union Investment.
