Confident that European property markets are recovering, investors are pouring money into Germany's open-ended real-estate funds, which are flush with cash and on the prowl for acquisitions.

Deka Immobilien Investment, Germany's second-largest open-ended property fund manager with assets of €12.5bn ($18.02bn) behind Union Investment Real Estate, is in talks to buy an office building in Washington, DC, and is negotiating the purchase of a logistics centre in Prague, according to Matthias Danne, the DekaBank board member in charge of overseeing the bank's real-estate business.

'We are interested in buying properties in the best locations. It is possible again to get attractive pricing in central markets in London, Paris, Madrid and other core cities,' he said in an interview.

He declined to elaborate on the negotiations.

Wall Street Journal