PGIM Real Estate acquires Frankfurt Office for micro-living conversion

PGIM Real Estate has purchased an office building in Frankfurt from CELLS, intending to convert it into a micro-living property. 

PGIM

The renovation will convert the empty 15,000 m2 office building into a premium residential complex offering more than 300 units, including micro-apartments and student housing. Residents will also have access to shared facilities like co-working areas, fitness and wellness centres, and social lounges.
The redevelopment, located in Frankfurt's developing Gallus district, close to the city’s central business district, is an attractive location for young professionals and students.
The redevelopment aims for at least DGNB Gold certification and a best-in-class EPC rating.
This transaction is the second acquisition for PGIM’s omniLiv German micro-living platform, following the acquisition of a Berlin office property from PIMCO earlier this year.
Nabil Mabed, senior portfolio manager for PGIM real estate business’ European Value-Add Strategy, commented: “This acquisition underscores the continued commitment by PGIM’s real estate business to providing innovative development and investment solutions in a constrained German residential market, which continues to experience strong demand for high-quality, well-located housing tailored to the needs of young urban residents.”