Swiss-based private equity group Corestate has announced the final close of its German Commercial Properties Fund.

The final close includes a commitment from a large Finnish financial institution, taking the anticipated investment volume of the fund to about EUR 400 mln.

Launched before the financial crisis, the fund invests primarily in office and retail properties located in large urban areas of western Germany, Switzerland and Austria, which Corestate said continue to display solid economic fundamentals.

Following a 'value-add' and 'opportunistic' investment style, the fund can acquire direct property, real estate holding companies and invest in distressed situations of a corporate nature, including preferred equity and mezzanine investments.