Rockspring Property Investment Managers has acquired three retail warehouse properties in West Germany for EUR 62.2 mln. The properties were sold by a private investor in an off-market process, reflecting a blended net initial yield of just under 7%.

The warehouses in Neuss, Kassel and the Emspark in Leer are being contributed to the Rockspring German Retail Box Fund.

The fund was launched in 2005 before the majority of foreign investors targeted the German market. The vehicle has 11 institutional investors and a gross asset value of just under EUR 600 mln. The three retail warehouse acquisitions bring the fund's total portfolio to over 50 properties.

Rockspring manages over EUR 1.1 bn of retail warehousing assets in Germany and Switzerland on behalf of a number of in-house funds. The focus continues to be on ground floor, food-anchored centres, with flexible planning consents.

Stuart Reid, head of Rockspring’s German operation, commented: 'Following detailed research in the early 2000's, we decided to focus our efforts in Germany on the retail warehouse sector, which we felt offered strong secure rental income streams at good value in relative European terms. We have built up a significant German portfolio and believe the fundamentals of the market are as strong today as we projected. We continue to have appetite for further acquisitions in this market.'

Property adviser Jones Lang LaSalle acted on behalf of Rockspring.