Irish private equity company Quinlan Private has made its first German purchase - a Cologne shopping centre
Quinlan has bought the Neumarkt Galerie shopping centre, known as the NG Shopping Centre, for 170m euro (£114.5m) from a German consortium comprising German Bank Bayerin, the country’s largest department store operator Karstadt, and property company Brune Consulting. Brune has retained a significant shareholding in the shopping centre. The deal reflects an initial yield of more than 5.5%.
The NG Shopping centre is the only shopping centre in the Neumarket districts of Cologne and is situated at the top of Schildergasse, which is the most frequented shopping street in Germany. It is a six-storey mixed use development with a three-storey basement. It comprises 172,224 sq ft (16,000 sq m) retail space on 3 levels and around 107,640 sq m (10,000 sq m) office space, a medical clinic and 92 car spaces. The tenant portfolio comprises a diverse range of international retailers and office tenants.
Derek Quinlan, executive chairman at Quinlan Private, said he was pleased to have bought a ‘unique asset’ and a operating in one of the world’s largest economies. “Developing a presence in Germany complements our portfolio along side our significant investments in the emerging economies of eastern Europe,” said Quinlan.
Thomas Dowd, partner at Quinlan Private, said the centre was a strategic purchase in Germany where planning restrictions limit the number of shopping centres permitted in large urban centres.
Quinlan Private was established in 1989 and now has assets under management of more than 5bn euro (£3.37bn) through Europe and North America.