German financier Deutsche Hypo has led a consortium that is providing EUR 208 mln in funding for a portfolio of 4,900 residential units in Germany. The contracts between the financing group and four subsidiaries of German residential property company Deutsche Wohnanlage were signed at Expo Real in Munich.

The portfolio consists mainly of residential units in Bavaria, Hamburg and the Frankfurt/Wiesbaden region. Southern Bavaria accounts for 26% of the portfolio by location.

Deutsche Hypo is providing EUR 78.1 mln for the 10-year facility. The other lenders are Münchener Hypothekenbank (EUR 58.8 mln); R+V Allgemeine Versicherung (EUR 39.1 mln) and WL Bank (EUR 32.2 mln). Volksbank Düsseldorf Neuss is providing an additional EUR 5 mln as part of a subordinated loan.

'Financing of housing portfolios is an increasing focus for us,' said Andreas Pohl, a member of the management board of Deutsche Hypo. 'Residential portfolios generate a stable cash flow and also provide a good regional diversification.'