Dutch pensions outfit PGGM has allied with UK-based fund manager Rockspring Property Investment Managers to launch a joint venture to invest in offices for the technology and media sector in Berlin. The two have stumped up an initial €250 million and are targeting flexible office space in the German capital’s tech hot spots.
The JV has hit the ground running, having already picked up property in the Kreuzberg district at a former factory location, with the seven-storey building boasting 9,270 square metres of space. The partners say they expect to complete as many as six transactions over the next 18 months in neighbourhoods such as Kreuzberg, Mitte, Friedrichshain and Mediaspree.
Thijs van Gelder, director of PGGM Private Real Estate, explains that economics and demographics are making Berlin “a very attractive location for young and highly educated people and fast growing tech companies. This results in strong demand for modern office space.”
The city recently got itself a tech-dedicated college in the shape of the Code University of Applied Sciences which is slated to open later this year offering courses in software development and interactive design to around 100 students.
Image: Berlin Partner