Catella’s pan-European Fund CER III Acquires Student Housing Property in Leipzig

The Catella European Residential III Fund (CER III) has acquired a 177-unit fully rented student housing development in Leipzig, in the eastern German state of Saxony for around €23 million from the Family Office Drengenberg. This latest investment takes CER III’s total assets under management to EUR 800 million. The Fund is managed by Berlin-based Catella Residential Investment Management (CRIM).

The 3,520 sqm site development was completed in Q3 2023 and has, beside the residential units, a food discounter supermarket on the ground floor, as well as 65 indoor and outdoor parking spaces. The asset is located in a lively diverse neighbourhood populated by students, artists and sub-cultures with numerous cafes, bars, restaurants, and small stores and is close to one of Leipzig’s universities.

Michael Keune, Managing Director at CRIM, said: “The latest investment in Leipzig by our CER III fund fully meets the environmental standards we demand from the assets in the portfolio for our investors. The acquisition also addresses another critical societal issue, the severe shortage of affordable and modern quality accommodation for students in major German and European cities when young people are struggling to take the first steps in their independent adult lives.”

The apartment sizes of the new property range from 20 sqm to 45 sqm. All units are fully furnished and designed with a similar modern colour palette using high-quality materials. The student residence is connected to the district heating network and obtains all its electricity from Stadtwerke Leipzig, the regional energy supplier, which plans to become carbon-neutral by 2038. The property is currently rated as ‘energy label B’ (German standard KFW 55) which reflects a high energy efficiency standard.

Leipzig has been one of the fastest-growing cities in Germany over the past 10 years and attracts many national and international companies to locate in the urban area and in the surrounding state of Saxony. It is also one of the most popular German university cities with around 42,000 students.

About Catella Residential Investment Management GmbH (CRIM)

Catella launched its first European residential property fund in 2007. The team also launched the first specialised pan-European student housing fund in 2013. CRIM is a subsidiary of the Stockholm-based Catella Group and its residential property business includes portfolio management advice, acquisitions and disposals as well as asset management. CRIM manages and advises several funds and mandates with assets under management of around €7bn in ten European countries.

For further information:

Catella Residential Investment Management GmbH

Stine Zöchling

Head of Marketing and PR European Residential

Office: +49 (0)30 887 285 29 76

Mobile: +49 (0)151 544 51 005

Disclaimer:

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