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Tengelmann invests in student residences in Cologne

Mülheim an der Ruhr, February 20, 2014 – TREI Real Estate GmbH, the Tengelmann Group’s real estate subsidiary, is planning to construct an apartment complex for students in Cologne-Ehrenfeld. “This marks the beginning of a pilot project in a new business segment that, along with retail properties, will expand the TREI portfolio in the long-term. With this in mind, we are currently discussing opportunities at various locations in Germany. Our newly developed concept is now being implemented in Cologne”, explains Karl-Erivan W. Haub, personally liable executive partner of the Tengelmann Group. The company has purchased a plot of land on Melatengürtel 113-115 along with the building already located there. “Small, affordable apartments are in short supply, particularly in university towns and cities. We want to offer students inexpensive accommodation near their university and help ease this segment of the housing market”, Haub adds. Besides realising the new building project, TREI Real Estate will also take on the rental and upkeep of the apartment complex.

The student apartment concept is part of TREI’s micro-living segment. This concept is being realised in selected locations and will create modern housing with attractive rental conditions, particularly in cities, with priority being given to energy-efficient building and maintenance. “Preserving intrinsic value in the long term is also extremely important to us. One factor helping us achieve this goal is the building design: we can structure apartment sizes flexibly and carry out any adjustments needed. Several small apartments could for example easily be joined to create a single, large apartment, thus guaranteeing efficient successive use,” explains Michael Neervoort, Managing Director of TREI Real Estate.

The two buildings planned for Cologne-Ehrenfeld will consist of around 160 fully-furnished apartment units with approximately 20 m² of living space each. Besides modern, stylish flair, the new apartment complex will feature numerous amenities such as a pleasant inner courtyard, service rooms, communal lounges, broadband internet, an underground car park with around 60 parking spaces and roofed bicycle storage. “Cologne-Ehrenfeld is a popular student residential area offering ideal conditions for the new TREI development. Excellent public transport connections, close proximity to the university, numerous shopping opportunities and an exciting array of gastronomical and cultural facilities nearby all add to the attractiveness of this location”, adds Neervoort.

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