Catella Wohnen Europa Fund has paid €85 million to Investment manager Europa Capital, in partnership with Keystone Investment Management, for the the Hi:Life residential scheme in Aarhus, Denmark.
Europa Capital and Keystone forward funded the development of the 17,600 sq m asset, which was sold on behalf of Europa Fund V, a pan-European value-add fund.
Hi:Life, which is located in the northern district of Aarhus, the second largest city in Denmark, opened in 2020 and is fully leased. It comprises 234 one- to three-bedroom apartments with communal roof terraces, which are let at affordable rents. The development also includes a restaurant. The building is designed to be energy efficient, with solar panels on the roof.
Since entering the Danish residential market in 2016, Europa Capital has acquired more than 2,000 beds in the residential rental market in Denmark, with a value of about €400 million.
“Having established a significant amount of experience in the residential market in Copenhagen, we recognised that investor appetite would soon expand to other mature cities within Denmark, such as Aarhus, which also offers favourable demand/supply dynamics,” said Europa fund manager and partner Jason Oram.
Catella Wohnen Europa Fund is managed by Catella Residential Investment Management (CRIM) and Catella Real Estate AG (CREAG). Thylander Gruppen advised Catella on the transaction. Colliers advised Europa Capital and Keystone Investment Management.