Billionaire Otto’s Fund Said in Talks for Vienna Property Dealby
A fund controlled by Germany’s billionaire Otto family is in talks to buy Vienna’s Millennium shopping and office complex, according to two people with knowledge of the deal.
ECE Projektmanagement GmbH, a Hamburg-based manager of shopping malls and retail-focused investment funds, is seeking to acquire the properties valued at as much as 550 million euros ($615 million), said the people, who asked not to be identified because the information is private. Negotiations are continuing and the deal could still fall apart, they said. Alexander Otto, ECE’s chief executive officer, is worth about $6.1 billion, according to the Bloomberg Billionaires Index.
Morgan Stanley Real Estate and Austria’s Kaufmann Gruppe bought the Millennium Tower office building and the mall in 2014 for about 315 million euros, Austria’s Wirtschaftsblatt reported in June. Millennium City has 50,000 square meters (538,000 square feet) of shops, restaurants and entertainment space, according to its website. The adjacent Millennium Tower is 202 meters tall and has 43,000 square meters of office space.
Officials at ECE, Morgan Stanley and Kaufmann Gruppe declined to comment.
The closely held Otto Group is the world’s largest mail-order company and the biggest online retailer after Amazon, according to Bloomberg data. Chairman Michael Otto’s wealth totals about $4 billion, the data show.