Catella Investment Management Benelux (CIMB) has acquired two residential developments in the Rijnmond conurbation in the west of the Netherlands for €65 million on behalf of two Catella funds. The first asset is a €45 million affordable housing property in Rotterdam bought on behalf of the Catella Wohnen Europa Fund (CWE) from developer CreFu. The second is a recently converted studio apartment complex in Capelle aan den IJssel purchased for €19 million for the Catella Modernes Wohnen Fund (CMW) from Waterford Rive Republic B.V. Both funds are managed by Catella Residential Investment Management GmbH (CRIM) and Catella Real Estate AG via their AIFM platform.
Ronnie Holtslag, Director Acquisitions at Catella IM Benelux: “The Netherlands is experiencing a severe housing shortage, especially in the affordable housing category. As long-term investors in residential real estate we can help alleviate the lack of supply by financing projects like these, which will offer modern, comfortable homes to a wide range of tenants. With monthly rents in the Rotterdam development expected to be between €850 and €1,100 depending on the size of the apartment, these new homes will be accessible and affordable to middle-income earners.”
The Rotterdam development is located on Palladiostraat 1-41 and Michelangelostraat 2-40 in the Prinsenland neighbourhood, part of Rotterdam’s Prins Alexander district. Developer CreFu (PR Development) has been appointed development and construction partner. Construction of the 161 apartments spread over two blocks will start shortly, with completion expected in Q2 2023. Upon completion, the development will deliver a total living area of approximately 10,600 sqm. The Palladio building will comprise 96 apartments with 61 ground-floor parking spaces while the Michelangelo complex will provide 65 apartments with 40 parking spaces at ground floor level. The apartments range in size between 45 and 105 sqm and will be finished to a high specification level, including gas-free, underfloor heating throughout and a private outdoor space. The units will have the highest possible energy label with solar panel installations on the rooftops of both buildings.
Rotterdam is Europe’s largest seaport and the Netherland’s second-largest city, with over 640,000 inhabitants representing 170 different nationalities as well as more than 30,000 expats. Of the more than 47,000 companies located in the city, 1,200 are international firms and its educational facilities include the renowned Erasmus University. Prinsenland is one of the seven neighbourhoods that make up the popular residential district of Prins Alexander, which lies to the northeast of Rotterdam’s city centre, just 15 minutes away by metro. The apartments are located close to both retail and leisure facilities with a supermarket and other amenities nearby and the Alexandrium shopping centre 1.4 km away. Prinsenpark with its green spaces and pond is located next door while the larger 200-hectare Kralingsebos forest and lake, one of Rotterdam’s most popular recreational destinations, is just two kilometres away.
The second acquisition is the 113-studio apartment Rive Republic complex located on Rivium 1e Straat 121A – 149M in Capelle aan den IJssel, a town to the east of Rotterdam. Formerly an office building, which was converted in 2019, the fully-let property comprises 4,339 sqm of 113 residential with 125 sqm of commercial space and 99 parking bays. The fully-furnished studios average 38.4 sqm in size and a local cafeteria, run by operator Daily, is on the ground floor. The building has the highest possible energy label thanks in part to its rooftop solar panels and alternative heating sources to gas.
Rive Republic is located on the edge of the Rivium office district, which the municipality is planning to transform into a mixed-use neighbourhood with a variety of amenities. The plans entail the development of up to 5,000 new homes and commercial space with 10,000 sqm of retail space including a 5,000 sqm supermarket as well as a new park, to be delivered between 2025 and 2030. Capelle is well connected to Rotterdam’s metro and motorway network. It benefits from three metro stations and the A1, A12 and A27 motorways provide direct access to The Hague, Eindhoven, Den Bosch, Amersfoort, Arnhem and Utrecht. Rotterdam’s city centre lies 20 minutes away by bike and the Erasmus University is only five minutes away.
Ronnie Holtslag concluded: “The Capelle property is ideally placed to satisfy demand from the fast-growing segment of (low-income) single-person households as it is located close to the university and the city of Rotterdam. The repositioning of the Rivium district into a mixed-use area will make this location even more attractive. Both acquisitions offer modern, comfortable and affordable housing which is severely underserved in and around Rotterdam. These assets stand to benefit from future rental and value growth thanks to their location in neighbourhoods that are rapidly emerging as popular residential areas and great connectivity to the rest of the Netherlands.”
About Catella IM Benelux
Catella Investment Management Benelux (CIMB) is part of the Catella group, a leading specialist in property investments and fund management with operation in 13 European countries and approximately 550 employees, including approximately 25 employees in the Benelux. The group manages assets of approximately €11 billion (June 2021). Catella is listed on Nasdaq Stockholm in the Mid Cap segment.
CIMB is the local office that offers fund, acquisition and asset management for all Catella-managed funds with an allocation to the Benelux region. CIMB has a broad real estate portfolio with some 75% invested in residential property and the balance in commercial assets. CIMB currently has about €1.5 billion in assets under management in the Benelux and is anticipating investing some €600 million per annum in these markets over the next few years.
CIMB is a member of the Catella European residential network alliance. The European residential network of Catella represents the largest cross-border investment platform for residential real estate in Europe with total assets under management of more than €5 billion.
For more information contact:
Lisette van der Ham
Head of PR & Corporate Communications
Catella Residential Investment Management GmbH
Upper West, Kantstraße 164, 10623 Berlin
M: +31 (0)6 83200561