Union Investment sells commercial and office property in Hanover

Union Investment has sold a commercial and office building at Otto-Brenner-Strasse 9 in Hanover, Germany. The building, which was built in 1974 and modernised in 1994, is located in the north-western city centre of the capital of Lower Saxony and had been part of the portfolio of Union Investment Institutional Property GmbH for around 50 years. The property has a letting area of approximately 4,970 sqm and is currently 100 per cent let.

The office and commercial building has been part of the institutional real estate fund's portfolio since the launch of UII GermanM in 2016. The sale price is slightly above the recent valuation. The buyer is a real estate company from Hanover that wants to reposition the property.

"The property has generated stable rental income for the fund in recent years. Now is a good time to sell the property. We are thus consistently implementing the active management approach of our fund and have further rejuvenated the portfolio," says Wolfgang Kessler, member of the management board of Union Investment Institutional Property GmbH.