Advisory firm JLL has successfully brokered the sale of a school and local retail centre in Pforzheim. The vendor of the property is Metro Properties, the real estate arm of retail group Metro AG. The transaction marks a change of ownership for the fully let property, which will henceforth remain in the portfolio of a private investor.
The property is located at Haidachstrasse 4-6 and comprises around 8,300 square metres of lettable space. The property ensemble was acquired by a regional family office, thereby expanding its footprint in the regional commercial property market.
Long-term leases and established tenant mix
The property features a dual-use structure combining municipal education and traditional local convenience retail. Existing occupiers include the City of Pforzheim, which has leased space for educational purposes. On the retail side, tenants include Netto and the non-food discounter Action.
- —Fully let property at Haidachstrasse 4-6 in Pforzheim
- —Around 8,300 square metres of lettable space with an institutional tenant mix
- —Tenants: City of Pforzheim (school operations) alongside Netto and Action
- —Weighted average unexpired lease term (WALT) of approximately 13 years
A key characteristic of the property is its secure income stream: the weighted average unexpired lease term (WALT) of the existing leases stands at roughly 13 years. This above-average duration provides the acquiring family office with a predictable and steady income structure across the coming decade.
Conclusion in the regional investment market
With this disposal, Metro Properties parts with an asset whose occupier structure integrates public educational services alongside retail concepts. The sale to an established regional private investor underscores the ongoing demand for prime-covenant assets backed by long-term leases in established locations.
