Hochtief to buy DB real estate
27 February 2008
A 50:50 consortium made up of hochtief and us privateequity fund Redwood Grove International have announced plans to acquire Aurelis, the real-estate arm of German railway company Deutsche Bahn. The purchase price is € 1,64 billion, of which € 820 million is Hochtief's investment.
Aurelis owns some 1495 plots of land and real estate assets, totalling about 27 km2. These are located throughout Germany, mainly in inner-city locations including Berlin, Frankfurt, Munich, Hamburg, Cologne, Düsseldorf and Stuttgart.
A statement from Hochtief said, “Plans are to expand Aurelis into the leading German asset manager and developer of inner-city urban quarters. Drawing on its project development expertise, the Group will offer national and international investors its balanced service package of planning and financing, development, construction, asset and property management as well as operation, on the basis of the Aurelis portfolio.”
The acquisition is subject to regulatory approval from the German Federal Ministry of Transport and Germany's Cartel Office.
