Catella Wohnen Europa (CWE), the German public open-ended real estate fund, has acquired a development of 90 affordable and fully-serviced apartments for around €10,5 million in Bochum, in the most populous federal state of North Rhine-Westphalia. The residential project is targeted primarily at young professionals, offering tenants flexible short- and long-stay options. It is operated under the STAYERY brand.
The seller is Cologne-headquartered Kreer Development, which is scheduled to complete the project by mid-2024. Berlin-based Catella Residential Investment Management GmbH (CRIM) is the manager of the CWE Fund with Catella Real Estate AG providing the German KVG platform.
Michael Keune, Managing Director CRIM, said: "Young people want flexible living options in Germany's growth cities and Bochum attracts many younger businesspeople and digital nomads looking for a vibrant university city with a flourishing business environment that is also very close to other Ruhr region’s large economic centers of Essen and Dortmund. We’re playing our part by investing in high-quality and well-located housing stock, and STAYERY offers this target group attractive long and short stay options in the old industrial heartland of the Ruhr metropolis, now also recognized as one of Europe’s liveliest cultural landscapes. The long-stay element of the project, in particular, is expected to ensure a high occupancy rate and provide long-term stable cash flow for investors."
The apartment building will have a rentable area of around 3,000 sqm including communal areas and co-working office space of around 315 sqm constructed on a 1,270 sqm plot. There will also be 25 underground parking spaces.
The new building is aligned with the KfW 55 standard, meaning the development only consumes 55% of the primary energy required by a comparable reference building, according to the domestic German Building Energy Act.
The project is located on the brownfield site of the former Mönninghoff automotive supply factory, which has moved to a new production complex allowing the area to be developed into a modern urban quarter within the Ehrenfeld district in the southern Wiemelhausen area adjoining Bochum’s city center. Ehrenfeld offers numerous cultural locations and restaurants as well as shops catering to young adults. The development has excellent public transport connections with the Bochum-Ehrenfeld S-Bahn (suburban rail) station within walking distance and the city’s main train station is about one kilometer. Essen and Dortmund can be reached in under 15 minutes by train.
Benjamin Rüther, Head of Fund Management CRIM, added: "Flexible living is the order of the day for young professionals, and this new development combines the comfort of an apartment with the convenience of additional services, delivering the right concept to attract young professionals.”
About Catella Residential Investment Management GmbH (CRIM)
Catella launched its first European residential fund in 2007 and its first dedicated European Student Housing Fund in 2013. CRIM is a subsidiary of the Stockholm-based Catella Group and its residential real estate business comprises portfolio management, acquisitions, sales and asset management. CRIM manages and advises several funds and mandates and has assets under management of more than €7,5 billion across 10 European countries.
About Kreer Development
Kreer Development is an independent and owner-managed project developer that develops real estate for its own account and at its own risk. From the vision to the purchase of a property, the planning and the structural realization, Kreer Development acts as a builder and manages the entire construction process up to the sale of the turnkey property. Since its foundation in 2006, project developments have been successfully realized throughout Germany in the residential, office, retail and hotel sectors. The company is based in Cologne.
For more information, please contact:
Catella Residential Investment Management GmbH
Head of Marketing and PR European Residential
Telephone: +49 (0)30 887 285 29 76
Mobile: +49 (0)151 544 51 005