July 2 (Bloomberg) -- Acquisitions of German home portfolios rose in the first half as institutions sought safer investments amid Europe’s sovereign-debt crisis.
Investors bought about 7 billion euros ($8.8 billion) of homes grouped into at least 50 apartments in the first six months of 2012, about 170 percent more than a year ago, CBRE Group Inc. said in a statement today. Non-Germans made about a third of the purchases, the Los Angeles-based broker said.
“Investors continue to view the German apartment market as one of the safest and most attractive investment markets in the world,” Konstantin Luettger, head of German residential investment at CBRE, said in the statement.
Transaction volumes were lifted by four large deals announced this year, including Deutsche Wohnen AG’s purchase of Barclays Plc’s Baubecon unit for about 1.2 billion euros. The value of deals will probably exceed 10 billion euros by the end of the year, bringing it close to levels last reached in 2008, CBRE said.
Demand is strongest in Berlin, where municipalities are among the bidders and prices are rising, according to CBRE.
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