Collineo Asset Management GmbH successfully arranged the placement of EUR 100 million with a consortium of professional pension funds. The promissory note loan has a 5-year term with a fixed interest rate. A large part of the loan is used to pay off existing liabilities. The promissory note also diversifies the investor base, expands the current mix of financing instruments and secures Instone s liquidity for further growth and future success.
“We are pleased to place the promissory note from this successful German residential developer. Housing remains an existential need and residential real estate is proving to be a robust asset class in the crisis,” says Dirk Bergander, CEO of Collineo Asset Management. "With the placement of the promissory for Instone Real Estate Group AG, we are underlining our competencies in the real estate market and are setting the course for our corporate development."
Instone, a company listed in the S-Dax, is one of Germany's leading residential developers and has been successfully active in the market for years. The company develops residential and multi-family houses, modern city quarters and renovates listed residential buildings, preferably in inner-city locations in Germany's attractive metropolitan regions. As of March 31, 2020, the Instone project portfolio comprised 53 development projects with an expected total sales volume of approx. EUR 5.7 billion and almost 13,000 units.
A well-known, family-run project developer is developing an office building and two hotels on the site of the personal Neptun shipyard. The three structures are related on the ground floor level. The attractive micro-location includes high visibility and good transport links in Rostock's old town as well as in the direction of the cruise port in Rostock-Warnemünde.
Perception approx. 15,650 m² GFA and 91 parking spaces. The construction work has already taken place, the claims and handover of the areas will be listed at the end of 2021. The two hotels are interesting rented. Collineo interests the development with mezzanine financing.
A well-known Cologne project developer is building a residential area with a daycare center and retail space on Albertussee in Düsseldorf. According to plans by HPP and Teherani Architects, a total of 607 residential units will be built on 51,770 m² of living space, 219 of which are subsidized or price-reduced. The Albertussee, created from a gravel pit, is included in the project development, the existing trees around the lake are made accessible by footpaths and children's play areas are integrated into the existing park-like green spaces.
In the middle of the North Rhine-Westphalian state capital Düsseldorf, directly adjacent to the exclusive Oberkassel district, an oasis of calm is created that will offer future residents the unique opportunity to live in the city center in the immediate vicinity of the water and park.
Collineo accompanies the project with mezzanine financing, initially until the building permit is obtained or the start of building construction work in Q4 2021.
Collineo arranges financing between a German pension fund and a project developer for a residential construction project in Dresden. In the immediate vicinity of the river Elbe, a residential quarter with around 550 residential units on approx. 52,400 m² GFA and approx. 43,100 m² living space will be built in the coming years.
The building application for construction site 1 was submitted in June 2020, the building permit is expected by the end of 2020. The building application for construction site 2 should also be submitted by December 2020. The preliminary planning for construction site 3 is currently being coordinated with the responsible offices and authorities in the state capital of Dresden. Plots 1 and 2 were sold to a pension fund as part of a forward purchase.
The mezzanine financing is paid out in three tranches and is used to replace the purchase financing and to finance further planning and development costs. The mezzanine financing has a term of 20 months and will be repaid with the funds from the first purchase price installment of the forward deal and the building construction financing.
A well-known Cologne project developer has acquired a plot of land in an industrial park in Stuttgart-Feuerbach as part of a two-stage bidding process. The approximately 5,700 m² large and undeveloped property is currently still being used by the former owner Parking used.
The project developer is planning the construction of an office building with approx. 16,300 m² GFA plus a small commercial unit with 370 m² GFA. In addition, an underground car park with a total of 156 parking spaces is to be created in the basement. Collineo accompanies the development with mezzanine financing initially until the building permit is granted, which is expected for H2 2021.
In an attractive location in Hamburg, in the Rissen district, between the districts Blankenese and Wedel, an ensemble of residential buildings complemented by commercial space, a daycare center and an underground car park with 75 parking spaces.
A total of 92 residential units (63 privately financed, 29 subsidized) with a living space of 7,521 m² and 3,661 m² of commercial space (subsidized craft workshops) are being built. Collineo supports the project with mezzanine capital to finance the construction costs until completion. The project developer has already sold the property via a forward deal; the mezzanine capital will be repaid via the purchase price payment upon completion in mid-2021.
The new high-rise quarter FOUR in Frankfurt's city center will go into the next round after the completion of one of the largest real estate financing deals in Germany. The four high-rise buildings under construction were financed independently, including the share of the common building base.
The financing of the 100 m high office tower (T4) in the Junghofstraße was already confirmed with the successful sale of the property in July 2018 to a fund of Union Investment. The provision of capital for the three other high-rise buildings was an intensive process due to the complexity of the project, which was likely to be a novelty in terms of project size and the number of actors involved in the German real estate industry. More than 20 financing partners provide a total of more than one billion euros for the construction of the district in a different structure.
The 120-meter high-rise building (T3) on Junghofstrasse, where condominiums, a hotel, retail and restaurant space are being built, is being financed by pbb Deutsche Pfandbriefbank as lead Bank and BayernLB. The mezzanine financing is provided by a German pension scheme and the investment is managed by Collineo Asset Management. Just a few days ago, Commerz Real announced that it had acquired the projected hotel in the base area of the 120 m tower for its open-ended real estate fund Hausinvest. In this area, the international boutique hotel brand Kimpton Hotel & Restaurants will open in the year 2023 a house with 155 rooms.
The Frankfurt project FOUR is a high-rise quarter development in Frankfurt's city center. The project is planned as a sustainable neighborhood and offers living spaces for up to 1,000 people and approximately 4,000 employees on approximately 213,000 square meters of above-ground floor space. About half of the space will be for new office space. In addition, around 650 apartments as well as hotels, restaurants, retail, local supply and public experience areas will be built.
In collaboration with CODIC Development GmbH, Collineo is providing a mezzanine financing for the MIZAL office campus with a gross floor area of around 37,000m². The project will set a landmark point in the southern city center with a 44m high object as well as the state-of-the-art closed-cavity glass facade of the two office buildings to be built as the prelude to the Düsseldorf Media Harbor.
The building permit has been granted and the structural work will begin in the second half of 2019. Completion is scheduled for summer 2022. CODIC and the international advertising and media group WPP have signed a lease contract for the entire area over the term of 15 years.
At the very beginning of the process, the longstanding partner, Kreissparkasse Köln, financed the purchase of real estate by CODIC and together with Deutsche Pfandbriefbank AG, which acts as Mandated Lead Arranger, took over the construction financing for the innovative new constrction project. This funding will be supplemented by mezzanine capital provided by a vehicle managed by Collineo Asset Management GmbH.
In collaboration with two renowned Austrian project developers, Collineo is providing a mezzanine financing for the development of a mixed-use neighboorhood with rental apartments, student housing, a hotel and retail in Vienna.
The current concept envisages the creation of 50,600m² GFA on the 14,600m² project area in the districts of Margareten and Meidling in Vienna. The planning procedure led by the seller of the property provides as the next step for the execution of an architectural competition, the planning application should be made according to planning at the latest Q3 2020. The building permit is expeted for Q2 2021, the start of construction is expected in Q3 2021.
For the financing of Schultheiss Quartier in Berlin, pbb has provided HGHI Holding with long-term senior financing amounting to EUR 175 million. A further EUR 50 million were provided by a German pension scheme, which was advised by Collineo Asset Management GmbH. This gives HGHI Holding a total financing of EUR 225 million. The pbb took over the structuring and acted as Mandated Lead Arranger.
The Schultheiss Quartier was completed in autumn 2018 and is located in the immediate vicinity of the subway station "Turmstraße" on the site of the former Schultheiss brewery. The building complex has around 72,000m² of gross floor space as well as an unterground car park with approx. 400 parking spaces. A total approx. 30,000 m² are distributed over retail space. The tenants include the hotel chain Meiniger with 250 rooms, a gym and large retail chains such as Kaufland, H&M, Douglas and Media Markt. There is also a food court with nine restaurants. On the upper floors and in the former coach house spread over 15,000m² mordern and high-quality office spaces.
An AIF, managed by Collineo Asset Management GmbH, and a Luxembourg-based insurance company have acquired a police headquarters in Aachen developed by HOCHTIEF PPP Solutions and completed by HOCHTIEF Infrastructure 2018. A German pension fund and a German occupational pension scheme have indirectly participated in the AIF structure via a bearer bond or a promissory note loan, respectively. HOCHTIEF PPP Solutions remains a minority shareholder.
The new police headquarters consists of more than 22,500m² of space for about 1,200 employees and offers/administratives areas as well as workshops, a sports hall and other police-specific facilities. The property lease term 20 years with an extension option of the state of North Rhine-Westphalia. The Collineo Group is responsible for the financial asset management of the property, the technical asset management remains with HOCHTIEF.
The law firm CMS advised HOCHTIEF PPP Solutions and Collineo Asset Management GmbH on the transaction. The advice included in particular the design of the complex purchase structure, the structuring of the bearer bond and the promissory note loan as well as fund supervision, tax, finance and real estate law aspects.
On behalf of a renowned Austrian project developer Collineo has arranged a mezzanine financing for the construction of an office property. By autumn 2022, around 13,600 m² GFA of new office space will be built in the immediate vicinity of the river Main.
On behalf of a renowned Austrian project developer Collineo has arranged a mezzanine financing for the conversion and construction of a residential area with additional retail / commercial use in Munich Johanniskirchen. The existing properties are to rebuilt and increased by one floor, additional space will be created in a new building. In total, 159 residential units will be built by the end of 2020, some of them with social benefits, as well as around 3,000m² of retail and commercial space on the ground floor.
On behalf of a major German project developer, Collineo has arranged a mezzanine financing of EUR 20 million for the construction of an office building in Dusseldorf. The property with around 15,000m² GFA will be completed by Q2 2020 in a preferred office location.
On behalf of an established German project developer Collineo has arranged a mezzanine financing for the construction of a new residential in Hamburg. For the approx. 22,000m² plot near the river Elbe, a new development plan will be in force by the beginning of of 2020, so that around 40,000m² GFA area can be built on the site by 2022.
On behalf of a renowned Austrian project developer, Collineo is providing mezzanine financing for the construction of a new residential and office district in Schönefeld. By 2021, approx. 560 apartments with 50,000m² of rental space as well as approx. 12,000m² of office space will be constructed on around 30,000 m² of land.
In line with the planning, the new day nursery celebrates the topping out ceremony on the 20th of August 2015. Under the leadership of Collineo Asset Management and after a five months long construction period, the structural works and the roof timbering have been completed. The Kita Münsterstraße was designed by Hofmann / Syffu and comprises 779m² barrier-free floor space. 70 new childcare places in four groups will reduce the strong demand for day nursery in Düsseldorf Mörsenbroich.
On two floors a disabled friendly and comprehensive care for children between four months and school-age will be provided. A distinguishing feature of the project is the well equipped and the 1,400m² large outdoor facility. The completion including the open areas is planned for summer 2016.
The new day nursery will be operated by Verein Kinder, Kinder Beruf & Familie e.V., which already runs several other ”Kitas” and day care centers in Düsseldorf.
Collineo acted as a transaction advisor regarding the sale of a residential complex located in Nuremberg, Germany. The property with a leasable space of approximately 5,000 square metres is almost fully let and includes some commercial units on the ground floor. It was built in 1964 and comprises of 49 residential, 4 commercial and 33 parking units located in the city district "Steinbühl" in a central area within the "ring road" of Nuremberg.
The P&P Group is an privately owned real estate company based in Fürth, Germany. It was founded in 1995 and today covers all business segments along the real estate value chain, from acquisition to project development, up to sale, letting and administration.
The buyer of the property is a German institutional investor. Collineo acted as an advisor to the seller.
Collineo acted as a transaction advisor for a sale of a residential- and office-buildung-complex in Leipzig to a special fund of the Düsseldorf´ investor aik Immobilien-Kapitalanlagegesellschaft mbH (“aik”)
Collineo supported the sale of the building complex which consists of 309 residential units and 8 office units located in Plagwitz, which is a district of Leipzig. Aik bought the building complex for their open real-estate special fund with total investment costs of around EUR 25.5 million.
The total floor space of the 12 buildings amounts to around 17,460 square metres. Beside the residential buildings the property complex includes a historical office building with 8 commercial units with an area of approx. 1.000 square metres. The residential buildings were constructed in the late 1990s and the historical office building was core redeveloped at the same time. The real estate is nearly fully let.
Leipzig is due to the population development, sustainable demand and the stable rent level an attractive investment location.
Collineo´s expertise and special know-how in the real estate markets and the long-term relationships to investors and market participants helped to successfully close the transaction.
In August Collineo Group successfully closed a further sale and leaseback transaction together with the Spanish hotel operator Hotusa with respect to the 4* Eurostars Book Hotel located in Schwanthalerstr. 42 – 44 in Munich. Collineo structured the transaction, arranged the long-term financing and is administrating the special purpose vehicle that owns the hotel. The acquisition of the hotel property was inter alia financed by DG Hyp. Tax adviser in this transaction was Berwin Leighton Paisner, legal adviser for Hotusa was Belmont Legal.
The Eurostars Book Hotel opened in September 2012 and from the opening the performance of the hotel has been extremely good compared with the competitors. The Hotusa Hotel Group operates a hotel reservation platform of independent hotels, including more than 2,600 hotels in over 50 countries, that currently is ranking as No. 1 among the Hotel consortia of the world, according to the latest HOTELS magazine ranking. Furthermore, its Management Company runs successfully 138 hotels, thereof six in Germany.
For the years ahead Hotusa plans a further expansion in Germany especially with the Eurostars and EXE brands. Hotusa and Collineo will continue their cooperation for further projects.
In January Collineo Group successfully closed a sale and leaseback transaction for the Spanish hotel operator Hotusa with respect to the 4-star hotel Eurostars Grand Central located nearby Munich central station.
Collineo structured the transaction, arranged the long-term financing and is administrating the special purpose vehicle that owns the hotel. The acquisition of the hotel property was inter alia financed by DG Hyp. Legal and tax adviser for Collineo in this transaction was Berwin Leighton Paisner, legal adviser for Hotusa was Belmont Legal. The Eurostars Grand Central Hotel opened in September 2009 and from the opening the performance of the hotel has been extremely good compared with the competitors. The Hotusa Hotel Group operates a hotel reservation platform of independent hotels, including more than 2,600 hotels in over 50 countries, that currently is ranking as No. 1 among the Hotel consortia of the world, according to the latest HOTELS magazine ranking. Furthermore, its Management Company runs successfully 128 hotels, thereof five in Germany. For the years ahead Hotusa plans a further expansion in Germany especially with the Eurostars and EXE brands. In this respect Hotusa and Collineo agreed to continue their cooperation.
On behalf of a German property developer, in February 2014 Collineo successfully arranged mezzanine funding for the client. The innovative bond structure was solely arranged by Collineo and acquired by German and international investors. In terms of tax and legal questions Collineo had been advised by the law firm Berwin Leighton Paisner.
The proceeds of the transaction are being used to finance the construction period of a residential development project. The development consists of 33 apartments with around 5.600 square metre in total.
Any proceeds not used for the project development will be used for general financing purposes of the property developer. This allows an expansion of the company´s general business activities.
For the expansion of business activities and issuance of additional mezzanine financing for new projects, the company and Collineo are planning to continue their cooperation.