The Grounds Real Estate Development AG concludes purchase contracts for land in Magdeburg and for the Triumph site in Heubach
- Acquisition of land in Magdeburg to develop a micro-apartment block – construction by 2020/21 scheduled. Investment volume amounts to approx. EUR 16 million.
- Conclusion of contract to purchase the Triumph site in Heubach, where an urban district will be redeveloped in consultation with the City Council.
Berlin, 19 October 2018 - The Grounds Real Estate Development AG (ISIN DE000A2GSVV5), a project developer clearly focused on trading in, and the sustainable management of, residential properties in Germany, has expanded its portfolio by adding new land in Magdeburg and Heubach (Stuttgart Metropolitan Region).
The Grounds has purchased a plot of land measuring around 2,740 m² located centrally in Magdeburg at Halberstädter Strasse 1, (not contiguous with areas already acquired) to develop an exclusive furnished micro-apartment block. This is intended to comprise 174 residential units on a planned rental area of around 5,070 m², with completion scheduled for 2020 to 2021. The investment volume for this project amounts to approx. EUR 16 million. Exit can take place both in a forward deal and in individual sales, since the demand for exclusive apartments in Magdeburg is growing strongly.
In Heubach, the corresponding contract to purchase the land has now been concluded with the community. The Grounds gained the City Council’s approval in April 2018 for the new development of a thriving urban district on the former Triumph site in the context of an invitation to tender with an attractive, harmonious concept for multigenerational living. The concept envisages building a total of 86 residential units and, in collaboration with Zieglerischen e.V., a well-known operator of care homes and age-appropriate residences in Baden-Württemberg, a care home on an area of 10,687 m². The investment volume for this project development is approx. EUR 21 million, with construction scheduled to start in 2019.
The Grounds Real Estate Development AG
Management Board Chairman
Leipziger Platz 3, 10117 Berlin
T. +49 (0) 30 2021 6866
F. +49 (0) 30 2021 6849
Haus der Wirtschaft, Kapstadtring 10
T. +49 (0) 40 6378 5410
F. +49 (0) 40 6378 5423
Acquisition, project development and sustainable residential property management
The Grounds Group focuses on buying and developing residential property and, as a full-service provider for the business areas Investment (including property and asset management), Development and Trading, they have made it their goal to provide affordable living space for different life stages. The emphasis is on residential property, particularly also special real estate such as student and retirement living in German metropolitan regions and attractive locations such as aspiring outskirts in Germany. As a portfolio holder their medium-term aim is to establish a significant high quality real estate portfolio at a magnitude of EUR 500 million through investments and in-house development, allowing stable profits together with attractive dividend payments to The Grounds shareholders. The Grounds seeks to position themselves as one of the leading German real estate companies by creating added value within the scope of housing development and subsequent development of market capitalisation.