Berlin's most famous landmark: Brandenburg Gate Source: © Berlin Partner GmbH/FTB-Werbefotografie

CMC Capital, the Cork-based wealth management and property investment division of Crowley & McCarthy Chartered Accountants, has announced the investment completion of their €100 million Syndicate 1 German commercial property fund.  More than 160 investors are involved in the syndicate, which raised €20 million in equity earlier this year. Since calling for investors’ funds in March, CMC says that the return on the syndicate investment, is already 20%.  

According to Richard Kingston, Director with CMC Capital the syndicate has been highly successful in reaching its targets.  “We are pleased to have finalised this syndicate which is one of the largest and most comprehensive Irish commercial property funds ever to operate in Germany.  We have managed to acquire an extensive ranges of properties in high demand locations which we believe will help to further bolster the 20% return on the syndicate investment that has already been generated.”

“The strength of this syndicate is that it pools the financial resources of the individual investors, and invests in high quality commercial properties in Germany’s top cities.  All of our properties are very well located and pre-let to blue chip tenants,” he added.

“Thanks to the yield - interest rate spread currently available, we offer investors a safe and profitable investment from the rental profit generated alone.  When capital appreciation is added to the mix, there is great profit potential for our investors,” Mr. Kingston concluded. 

The average rental yield of the property portfolio is over 7%. Properties in the fund include the €16.5 million Lechland Shopping Centre in Landsberg near Munich, a retail and office property in the main square of Leipzig valued at €12.8 million, a €20 million retail centre in Ingolstadt, a retail and office building in Berlin which was purchased for €11.1 million, and an office property in Stuttgart purchased for €5.15m.  CMC implements an active management strategy on all properties acquired, to add to the rental income and the value of the properties.

Headquartered in Clonakilty, CMC has offices in Dublin and Cork. The firm has been engaged in the German market since 2004, when their extensive market research showed this was a prime investment location. Since that time, CMC has successfully sourced and purchased over €250m worth of German commercial property for syndicate and private client investors.