IN THE NEWS...

GEG acquires the HELIO building in Augsburg

24th June 2019

Frankfurt, 24 June 2019

 

GEG German Estate Group AG, Frankfurt/Main, has acquired the HELIO building, situated directly next to the main railway station in Augsburg (Viktoriastrasse 3). The acquisition of the interconnected four-part building – which includes an underground car park with around 600 parking spaces – was acquired in an off-market transaction. The seller, ASG, Jersey, has extensively refurbished, modernised and repositioned the building as an attractive setting over the past three years. The complex offers a rental space of around 36,000 sqm, and has a plot area of around 12,000 sqm.

 

Thanks to its ideal micro and macro location, the fully let HELIO is easily accessible – and also an attractive rental property due to its modern infrastructure. The well-diversified mix of renowned tenants such as Deutsche Bahn, REWE, dm and Check24 as well as average remaining lease terms of more than 10 years, ensure an attractive return. The range of use – covering offices (approx. 37%), retail (approx. 19%), gastronomy (approx. 11%) and sports and entertainment (approx. 22%) – makes this building one of the most modern business centres in Augsburg.

 

Following the repositioning and complete refurbishment, the complex was reopened under the name HELIO in autumn 2018. The yellow illuminated façade provides a striking external appearance, making the new service and business centre a highly visible city landmark from all directions. The planned additional upgrading of Augsburg’s main railway station promises HELIO a further prosperous future.

 

The acquisition of the HELIO building is GEG’s first investment in Augsburg.

 

Ulrich Höller, Chairman of GEG’s Supervisory Board, said: “GEG continues its course of success and growth in the new shareholder structure with unchanged dynamics. With the acquisition of HELIO, the GEG portfolio will be expanded by a further top asset in an attractive business location.”

 

In this transaction, the buyer was advised by JebensMensching (legal and tax) and CBRE (technical); the seller was advised by Greenberg Traurig (legal) and Noerr (tax). BNP Paribas acted as intermediary.

 

Saul Goldstein, ASG’s Founder and Managing Partner, said: “This is a classic ASG turnaround story. We bought a neglected mixed-use building to realize the huge potential it offered through its excellent central location in Augsburg and the city’s strong prospects. Our modernization works have transformed the property to make it more accessible and welcoming, allowing us to attract long-term tenants – including household brands in the retail units. Project HELIO is now perfectly placed for ownership by GEG.”