Trei Real Estate develops residential and commercial building in Berlin with an investment volume of €68 million
Trei Real Estate GmbH (Trei), a property development and portfolio manager for residential and commercial properties operating across Europe, has obtained building permit for the mixed-use development at Winsstrasse 18 in the Prenzlauer Berg area of Berlin. Over the next two and half years, the site on Winsstrasse at the corner of Marienburger Strasse will see the construction of a residential and commercial building with around 187 rental flats (11,300 sqm) on six floors. There will be commercial space of approximately 2,700 sqm on the ground floor, including an Edeka supermarket. Construction is set to start in march 2019; completion is scheduled for the first quarter of 2021. The architectural design comes from the architecture firm Stephan Höhne Gesellschaft von Architekten mbH. The investment volume totals €68 million, and Trei Real Estate GmbH will retain the building ensemble in its own portfolio once completed.
“The building permit for our development on Winsstrasse is another milestone in the implementation of our residential strategy,” says Pepijn Morshuis, CEO of Trei Real Estate GmbH, adding: “We see particularly great potential to create new living space by building over inner-city retail spaces.”
The plot is currently home to a one-storey property with a large supermarket. “The demolition of such space wise inefficient properties and the construction of new, multi-storey buildings with retail on the ground floor and homes on the upper levels is currently a trend in Berlin – especially in central locations. In this way, the same space is used much more efficiently, creating urgently needed living space,” Morshuis continues.
In Berlin, there are currently four Trei projects in planning and under construction with mixed residential and retail usage. As well as Winsstrasse, the company is also realising a residential development on Pappelallee, also in Prenzlauer Berg. At both locations, one-storey retail properties are being torn down to make way for residential and commercial buildings. Trei is also developing residential projects at two more city centre locations in Berlin. In total, the company is investing around €250 million in the realisation of around 750 rental flats and 8,000 square metres of retail space in Berlin.
Since 2015, the German real estate company Trei has been forging ahead with its portfolio optimisation and divesting itself of properties that do not match its target portfolio. The company acquires, develops and manages tailor-made and sustainable residential and commercial properties. In the context of its long-term strategy, the wholly owned subsidiary of the Tengelmann Group has a focus on property investments and developments in Germany, Poland the Czech Republic, Slovakia, Portugal and the USA. In addition to a long-term portfolio of, approximately €1 billion, Trei Real Estate GmbH has a pipeline of developments totalling approximately €500 million.