GRR Real Estate Management GmbH has acquired another two retail properties in Bavaria and Hesse for the GRR German Retail Fund No.1 at a total cost of €10.5 million. Recently, GRR REM acquired for the fund a portfolio of nine Aldi stores in Baden-Württemberg and Bavaria as well as a local retail and services center in Erlangen with Rewe as anchor tenant.

Built in 2012, the latest-generation Rewe supermarket in Kirchhain in Hesse has leasable space of around 2,200 sqm. Compared with its previous location around 150 meters away, the new building gives Rewe not only a more spacious and more modern store, but also greater visibility and more generous car parking.

The second property is a specialist store center, located directly on a major artery in Treuchtlingen in Bavaria with leasable space totaling around 3,900 sqm. In addition to its anchor tenant Aldi Süd, its tenants include Rossmann, Fristo Getränke, Ernsting’s Family, Takko, as well as a fast-food outlet and a hairdresser. The building stands on land measuring around 15,400 sqm, and there are plans to create around 150 car parking spaces. Completion is scheduled for early summer 2013.

The GRR German Retail Fund No.1, which focuses on retail properties in the basic retail segment, is expected to grow to almost €300 million in the course of the investment period of two to three years – with a target of around 70 percent of rental income attributable to food retailers. The real estate fund has been designed as a special investment fund under the German Investment Act. It is targeted primarily at German institutional investors.