Berlin-based TSC Real Estate has advised the fund 5QRE HealthCare Infrastructure Deutschland 01 on the purchase of a socio-therapeutic facility located in Darmstadt.
Socio-therapeutic facility in Darmstadt. Image source: TSC Real Estate
The facility is located in the district of Darmstadt-West, approx. 1.8 km from the city centre in a well-integrated and infrastructurally well-connected micro location, within a few minutes’ walk of convenience retail amenities and public transport connections. The dynamic western Darmstadt region is characterised by a high level of growth, which is emphasised by the various new-build projects in the immediate vicinity of the property.
The socio-therapeutic facility was constructed in 2014 in accordance with the requirements of §§ 67-69 SGB II (German Social Code) and comprises 25 care rooms (5 of which are disabled access) and a number of therapy rooms. The site area is around 3,900 m² and the building has a total lettable area of approx. 2,000 m². The integrated woodworking workshop offers therapy sessions for residents of the facility and for a partner property managed by the same operator. In addition to the manufacture of useful products, the patients are reintegrated into a regulated day-to-day working life. The facility offers the care and therapeutic treatment of patients suffering from addictions and covers part of the significant and continually increasing demand for therapy places in this segment, thus helping to reduce the number of addicts across the region.
Since completion, the fully occupied and in 2014 comprehensively refurbished socio-therapeutic clinic has been operated by STZ Soziotherapeutische Zentren Heide GmbH. The remaining lease term is more than 13 years. The consistency of the operator has allowed it to develop many years of expertise and competence in the addiction segment in which it has expanded continually. Other therapy centres operated by STZ are located in Niederfeld (Darmstadt), Wartenberg and Speyer.
The real estate special fund 5QRE HealthCare Infrastructure Deutschland 01, has been developed by TSC Real Estate in co-operation with Five Quarters Real Estate AG | 5QRE, a real estate investment management company (KVG) for institutional investors based in Hamburg. The real estate special fund is an investment vehicle for German institutional investors with an investment strategy encompassing a broad range of healthcare properties including both the usual types of retirement properties such as in-patient care homes and assisted living facilities and primary healthcare operations such as medical centres and community healthcare facilities plus rehabilitation and therapeutic treatment centres. Compliance with sustainability requirements is an important issue in this regard, and TSC Real Estate is currently working in partnership with the ESG Circle of Real Estate on a catalogue of criteria for the fulfilment of sustainability-related requirements for healthcare real estate as part of the ECORE initiative.
TSC was advised on this off-market transaction by JLL, ImmoTiss and law firm Lambsdorff.