A successful regeneration and sale within one of Hamburg‘s most picturesque areas
A 60-year-old building in a prime location in Hamburg needed an urgent update. The challenge was to create a redevelopment project which would offer modern office standards while increasing the lettable space of the site, thereby increasing the value of the property.
It was a brave decision of Allianz Real Estate´s North & Central Asset Management Team to start from scratch and fully demolish the old building after a complex approval process with local authorities. The development plan was finalized in 2018 with full completion of the construction work. Besides an additional 80% of lettable area, the new building also featured modern ESG standards certified by the DGNB Gold label – German certification for carbon neutral buildings. Part of the site was sold to a residential developer to build social housing next to our development.
Our team of asset managers saw a great opportunity in a beautiful location and took the risk to start a new project. Expectations were exceeded with the on-time delivery of a green, modern building fit for the future in one of Germany‘s key cities.
While the development had been started on a speculative basis, it could be well leased up with two ten-year leases. The success story ended with a sale with high value creation.
|Asset name||An der Alster (sold)|
|Investment type||Core Plus|