DGAP-News: Coreo acquires residential portfolio in North Rhine-Westphalia

Coreo acquires residential portfolio in North Rhine-Westphalia

• 272 residential units at 4 locations
• 19,800 m² total rentable area
• Closing in 2020

Frankfurt am Main - 5 November 2019 - Coreo acquired a total of 272 apartments and a commercial unit from LEG in Wuppertal, Bielefeld, Gelsenkirchen and Lünen. The residential portfolio is almost completely rented. The special status of the properties as publicly subsidised ends in 2021 and 2024 respectively. The properties in Wuppertal and Bielefeld shall remain in the portfolio long term, held by a newly founded SPV (special purpose vehicle). Coreo acquired the properties in Gelsenkirchen and Lünen directly with the Coreo AG because the company anticipates additional development potential.

The closing will take place at the beginning of the coming year in accordance with the sales and purchase contract. As a result, the property portfolio will generate revenue and earnings contributions for the first time in the business year 2020. The parties agreed not to disclose the acquisition price.

"I am delighted about the acquisition of our first residential portfolio in the most populous German state. Here, we also see extremely interesting development opportunities for some properties, as we experienced with our residential portfolio in Göttingen and the Hydra portfolio. Furthermore, we want to exploit the opportunities offered by the local real estate market", explains Marin N. Marinov regarding the planned approach and looks forward to the continuation of Coreo's success story.
 

About Coreo AG
Coreo AG, which has its registered office in Frankfurt am Main, is a dynamically growing real estate company with a focus on German commercial and residential properties. Investments are made in real estate with considerable potential for appreciation thru refurbishment and repositioning, preferred in A and B macro locations. The goal is to build up an efficiently managed, high-yielding real estate portfolio through prudent development and the sale of non-strategic properties.