Frankfurt-headquartered property company DIC Asset has paid €635 million for two office properties in Munich. The assets have been acquired from Singapore’s sovereign wealth fund GIC.
GIC Real Estate acquired the buildings in 2006, paying developer Hines over €300 million.
The acquisitions of Uptown Tower and Campus C represent DIC Asset’s largest investment in Munich to date. Both properties are fully occupied. The deal is expected to be completed in the second quarter of 2021.
The 146-metre high Uptown Tower is the tallest building in Bavaria. Completed in 2004, the 37-storey building has a lettable area of around 52,300 sq m. The building was renovated in 2018, which enabled open-plan layouts and provided modern air conditioning. The building is the national headquarters of Telefónica Germany.
Campus C, which is a fully occupied multi-tenanted property, was acquired for about €66 million, has a gross lettable area of 9,200 sq m. DIC Asset said it has value-add character and promises a steadily increasing value appreciation potential. Main tenants of the property are the US software company Adobe Systems and two public sector tenants.
DIC Asset said it will seek early certification of the two assets as green buildings. About 20% of DIC Asset’s €10.6 billion portfolio is already certified.