- Off-market acquisition of a multi-tenant research property measuring 13,600 square metres

- Anchor tenant from life science sector underscores acquisition strategy focused on science parks

- Acquisition brings total portfolio value up to over 227 million euros

- Additional science park acquisitions planned

Diok RealEstate AG (“DIOK”) has announced the completed acquisition of an 89.9-percent equity interest in the vehicle which owns the Campteq Innovation Campus property. This represents the company’s first acquisition since a private syndicate led by Alvarium Investments acquired a 49.9-percent interest in DIOK. By purchasing the Campteq Innovation Campus property, DIOK is continuing its established strategy to acquire assets in the science and technology space.

The property extends over nearly 13,600 square metres of lettable area. Its largest tenant is Azenta Life Sciences, which maintains one of Germany’s largest bio-storage facilities in the property. The property is currently tenant-occupied to about 60 percent and therefore offers considerable appreciation potential by raising the occupancy rate.

The fact that the property was acquired within the framework of an off-market transaction further demonstrates DIOK’s wide network. Together with its existing portfolio, the acquisition increases the value of DIOK’s property holdings to more than 227 million euros. The tenant base of the newly acquired property is dominated by blue-chip companies from the biotechnology and logistics sectors.

Financing for the acquisition was provided by a local bank. A fixed interest rate of just below 2.0 percent was granted for a ten-year term. The loan-to-value (LTV) ratio of the acquisition remains below the debt-to-equity ratio of DIOK and so contributes to the reduction of the company’s gearing ratio.

Markus Drews, Member of the Board of DIOK, said: “The Campteq Innovation Campus perfectly suits our investment focus on the science and technology asset class. The acquisition was financed together with our new shareholder, Alvarium Investments, and with 64 Investments, a fact that has helped to speed up the pace of our acquisition activities. We will exploit the auspicious environment and our robust deal pipeline to move ahead with our next transactions in the near future. Investing in high-yield and risk-diversified science and technology assets occupied by tenants from forward-looking industries, such as the digitisation, communication, automation and pharmaceutical technology sectors, has proven the right approach, especially against the background of the COVID-19 pandemic.”

Ralf Nöcker, another Member of the Board of DIOK, added: “The science and technology asset class is defined by high-net-worth tenants and long-term leases. Moreover, tenants of this type will often invest in the interior fit-out of their premises, including by installing labs, clean rooms and similar facilities, reinforcing the occupiers’ loyalty to the location. This transaction is a natural fit for DIOK given its focus and deep expertise in the science and technology commercial property space.”

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More details: www.diok-realestate.de

Press contact:
Diok RealEstate AG
c/o RUECKERCONSULT
Christof Hardebusch
T: +49 (0)221 29 29 56 33
E: hardebusch@rueckerconsult.de

About Diok RealEstate AG
Diok RealEstate AG (DIOK) is a property company based in Cologne that specialises in German commercial real estate. The company focuses on building up an attractive portfolio of science parks and similar commercial properties in good to excellent locations of second-tier cities, occupied mainly by tenants from forward-looking industries in the areas of digitisation, communication, automation and pharmaceutical technologies, for instance. Labour-intensive activities have been outsourced in their entirety to third parties while remaining subject to DIOK’s supervision and control. As an active portfolio and asset manager, DIOK thus achieves a steady capital growth and a positive cash flow from day one. In the medium term, DIOK intends to use its well-filled acquisition pipeline to build up a real estate portfolio worth 1 billion euros. As at the balance sheet date of 31 December 2020, the value of the real estate portfolio totalled c. 206.3 million euros. The 2018/2023 corporate bond with the ISIN DE000A2NBY22 that DIOK RealEstate AG issued in September 2018 is traded on the regulated unofficial market (Open Market) of the Frankfurt Stock Exchange.

About Alvarium Investments & Alvarium Real Estate Co-Investment
Alvarium is a global wealth and asset management company.

The Alvarium Real Estate Co-Investment platform has deployed more than 7 billion US dollars of capital for a subject-related investment strategy which selects sub-sectors on the basis of in-house industry insights and long-term analyses of cyclical and geographic trends. Alvarium identifies the teams best-suited for implementing the chosen strategy, and offers its clients bespoke co-investment opportunities. Alvarium RE Limited is the real estate arm of Alvarium, a company registered in the United Kingdom and authorised and regulated by the Financial Conduct Authority.