Hines fund sells Stuttgart mixed-use asset
Hines’ European Value Added Fund has sold the Postquartier office and retail development in Stuttgart to the state of Baden-Würtenberg-Stiftung for an undisclosed price.
The 301,000 sq ft (27,964 m2) asset is in central Stuttgart on the corner of Kronenstrasse and Lautenschlagerstrasse, adjacent to Koenigstrasse, Stuttgart’s main shopping street.
The 11-storey office building includes two floors of retailing totalling 102,000 sq ft (9,476 m2).
The building was the former Deutsche Post headquarters which HEVAF bought in 2008 and undertook a €100m refurbishment completed this year.
Most of the building is let to the Federal State of Baden-Württemberg for its Ministry of Education and Sports as well as Deutsche Bahn Fernverkehr. Retail tenants include Conrad Electronic, Mammut and The North Face.
“We are now looking forward to new development opportunities in Stuttgart,” Hines project manager Christian Meister said in a statement.
HEVAF was launched in 2005 with €287m of equity commitments from a group of European institutional investors and at the time was the second pan-European investment fund raised by Hines.
Hines says the fund’s objective is to invest in and add significant value to European real estate opportunities, mainly in France, Germany, Italy, Spain and the UK.