TSC Real Estate advised the ‘Civitas European Social Infrastructure Fund SCSp’ fund, managed by Civitas Investment Management, on the purchase of the Katharinenhof care property portfolio from Deutsche Wohnen and on the purchase of the operational business by Alloheim, including the conclusion of rental agreements. TSC Real Estate will also take over the ongoing management of the properties.
The purchase price for the properties and operations was over €300 million. As part of the takeover of the renowned operating company Katharinenhof, Alloheim signed a 25-year lease for all locations. The Civitas fund follows a long-term holding strategy. Civitas and Alloheim have agreed to implement an extensive Capex program, which will ensure value retention and improvements as well as develop and implement ESG measures including a climate roadmap.
“A transaction process of this magnitude involving three different parties required extensive expertise in various disciplines. In addition to the right timing when initiating the transaction, it was crucial to identify the right operator and to manage the different interests of the seller, buyer and operator when it came to the transaction and the deal closing. “We are pleased to have successfully advised on the second portfolio transaction with Deutsche Wohnen, following the acquisition of the Rhein-Main portfolio in Q2 2024,” explains Maximilian Woiczikowsky, Director of Investment Management at TSC Real Estate.
“As a specialized investment and asset manager and consultant, we are delighted to have once again supported the entry of international capital into the German healthcare market. Investing in care properties in Germany and Europe requires in-depth expertise both at the real estate and, not least, at the operational level. It is precisely this specific asset expertise combined with capital market and investment structure know-how that our team can cover excellently. In addition, we are delighted to be able to significantly expand the long-standing relationship with Germany’s leading care operator Alloheim through this transaction and the mandate. We have great confidence in the stakeholders involved, also with regard to the upcoming integration of the Katharinenhof platform. This transaction will be a very positive signal to the market, as it shows that capital continues to trust in the sustainability and resilience of the German care sector,” explains Berthold Becker, Managing Director at TSC Real Estate.
In addition to TSC Real Estate, Greenberg Traurig (legal), PwC (tax & financial), Drees & Sommer (technical & ESG) and Savills (commercial & valuation) acted as advisors on the buyer side. Cushman & Wakefield and Societé Generale acted as intermediaries on the seller side.