LEG acquires 600 apartments and accelerates growth in Bremen, Rhineland-Palatinate and Hesse

by   CIJ News iDesk III
2021-01-13   08:28
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In seven smaller transactions in the fourth quarter of 2020, LEG Immobilien AG successfully acquired a total of around 600 residential units – mostly at existing locations. 200 of these apartments are situated at four locations in Rhineland-Palatinate, with the majority in Kaiserslautern (95) and Koblenz (57). A total of 90 apartments add to LEG’s portfolio in Bremen, while another 40 add to that in Oldenburg. The company will also offer another 60 purchased apartments in Wiesbaden and another 54 in Hanover. The newly acquired properties strengthen the company’s market presence in northern and south-western Germany. In addition, 131 units in Aachen and a portfolio of 50 apartments in Bocholt add to LEG’s portfolio in its home market of North Rhine-Westphalia and emphasise that the company intends to keep expanding its market leadership here.

By the middle of the year, LEG had already surpassed its goal of acquiring 7,000 residential units in 2020. Now the company is upping the ante again with these new acquisitions. The transfer of ownership took place as at 31 December 2020 already for some of the properties, while for the others it is expected in the first half of 2021. The transactions once again underscore the company’s ability to meet its growth targets while adhering to its strict acquisition criteria, even in today’s highly competitive housing markets, and to make attractive, value-adding acquisitions.

“Including the current acquisitions, we grew by around 12,000 apartments in 2020. We thus displayed a very high growth rate, particularly in the new markets outside our home market of North Rhine-Westphalia. The recently acquired units strengthen our presence there – while at the same time we are further expanding our market leadership in North Rhine-Westphalia. The smaller portfolio sizes show that within a short space of time we have already established a basis in our new markets, as in our home market of North Rhine-Westphalia, that allows us to manage smaller acquisitions successfully and with added value. Our new customers can also rely on us to provide good housing at fair prices and to fulfil our social responsibility as a major landlord,” says Lars von Lackum, CEO of LEG Immobilien AG.

LEG also aims to gradually expand its supply of modern, affordable housing in the new-build segment, particularly in markets with high demand. In this context, the company acquired four new-build projects with a total of 260 apartments in 2020 – all of which are at existing company locations. Two of these projects are in Cologne (60 apartments in the Roggendorf district and 68 in Ehrenfeld), another is being implemented in Düsseldorf-Unterbach (66 apartments) and the fourth in Holzwickede in the Unna district (66 apartments). The projects are expected to be completed in 2022 and 2023.