ActivumSG fund backs two property development projects in Berlin with financing worth a total of €15.8 million
Jersey (UK), March 29th, 2017 – The latest fund established by ActivumSG Capital Management (ASG), the turnaround specialist that targets European real estate investments, has provided developers with financing worth a total of €15.8 million for two projects in Berlin.
The pair of investments by ActivumSG Fund V means that ASG-managed funds have provided a total of €100 million of development finance in Germany during the past five years, in addition to their direct property investments and the purchase of three development businesses.
Saul Goldstein, Founder and Managing Partner of ActivumSG, said: “The relatively short duration of these investments, coupled with the quality of the projects and the developers involved, give us good visibility and also increase our exposure to Berlin, the most dynamic real estate market in Germany. Development finance broadens the range of attractive investment opportunities that our funds can take up rather than stick rigidly to the direct real estate investments.”
The investments by the fund are:
- Bridge finance of €5.5 million provided to Home Center Management GmbH, a joint venture partner on three previous ASG fund investments, for the acquisition of the riverside site of a former brewery in the Niederschoeneweide district of the German capital.
- Providing developer Mundial AG with €10.25 million of mezzanine finance to acquire two office buildings in the affluent Berlin suburb of Dahlem and to help cover the costs of their conversion into condominiums, for which planning consent is already in place.
The specific terms of the investments are not being disclosed for reasons of confidentiality. ActivumSG Advisory GmbH, BF. direkt AG and Greenberg Germany, LLP advised the fund on the investment.
ActivumSG Capital Management Ltd. is a Jersey-based real estate investment manager focused on Germany and Spain. The group was founded in 2007 by Saul Goldstein after he left Cerberus, where he held a variety of senior roles. ActivumSG currently has four discretionary closed-end real estate funds under management with a total of approximately €1 billion of assets under management. ActivumSG funds invest in high quality properties with significant unrealized potential. Through hands-on asset management by its local teams, ActivumSG repositions properties so that they generate the stable cash flows that appeal to prospective institutional buyers. ActivumSG Capital Management is regulated by the Jersey Financial Services Commission. For more information, visit the website at www.activumsg.com
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