Real I.S. has acquired two office buildings in Hamburg, Germany's second-largest city, on behalf of a newly launched closed-end fund. The properties are almost fully leased to the City of Hamburg with rental contracts running to 2026 and 2031. The total investment volume of the fund amounted to EUR 65 mln, of which EUR 35.6 mln is own capital.

Built in 1930, the Stöckelhorn property is a listed building offering 15,000 m2 of space including office accommodation on the upper floors and retail facilities on the ground floor rented to six tenants. It is located between the historic part of Hamburg and Hafencity.

The Schloßstraße asset, which is fully occupied by the municipality, is located in the northeastern part of the city and offers 12,000 m2 of office space.

The fund is expected to generate an annual return of 5.5%, Real I.S. said.