Schoenherr has advised HanseMerkur Grundvermögen AG ("HMG") on the acquisition of a EUR 331m portfolio of commercial properties for its real estate property fund HMG Grundwerte Chancen, from conwert Immobilien Invest SE ("conwert"). The purchase agreement was announced on 2 November 2016 while the closing of the transaction is expected by the end of the year following approval from the competition authorities.
 
The portfolio is made up of 34 office and retail properties in major urban regions in Austria and Germany with a total usable area of around 200,000 sqm. At EUR 331m, the purchase price is slightly above the book value of the properties. With this sale, conwert has divested around 40 % of its non-core portfolio. Listed on the Vienna Stock Exchange, conwert is a fully integrated property company with a focus on residential property and apartment buildings in Germany and Austria. 
 
HMG is acquiring the portfolio for the newly founded special property fund HMG Grundwerte Chancen. A subsidiary of the Hamburg-based insurance group HanseMerkur, HMG is seeking to expand its portfolio of properties and to establish itself as professional investment platform to institutional investors.
 
The Schoenherr team advising HMG was led by Michael Lagler (partner, real estate). He was supported by Franz Urlesberger (partner, eu & competition), Christoph Tittes (associate, real estate) and Theresa Goriany (associate, real estate).
 
Latham & Watkins acted as lead counsel to HMG in Hamburg. Conwert was advised by GSK Stockmann in Munich and bpv Hügel in Vienna.