Sirius Real Estate Ltd. acquired a business park in Schenefeld near Hamburg with a total lettable area of approximately 42,000 sq m on 1 March, 2018. The net initial yield was 7.8%. The vendor of the property was an institutional investor. With a total rental income of EUR 1.5 million p.a. and 71% occupancy, the property offers a good combination of stable cash flow and significant value-add potential. Global real estate services provider Savills advised Sirius during the sale process.

“Hamburg is a key market for Sirius. Having acquired the former Deutsche Telekom headquarters near Hamburg Airport in December 2017, this is its second acquisition in the region with a few months,” says Bertrand Ehm, Director of Industrial Investment for Savills in Hamburg. “The Schenefeld submarket provides an optimal location at the west-ern gateway to Hamburg, offering good transport links both over long distances and to the city centre, as well as to surrounding, populous areas in the Hamburg conurbation.”