Norton Rose Fulbright advises RDI REIT on sale of the retail centre Schloss-Strassen-Center Berlin

Germany Press release - Business September 2020

Global law firm Norton Rose Fulbright has advised RDI REIT, a British Real Estate Investment Trust, on the sale of the retail centre Schloss-Strassen-Center in Berlin for €65.5 million to Benson Elliot, a UK-based private equity real estate fund manager.

The Schloss-Strassen Center is an 18,600 m² retail center located on the main retail square in the Steglitz-Zehlendorf district in southwest Berlin and is integrally connected to the subway system. The center generates net rental income of approx. €4.7 million p.a. (£4.2 million p.a.) and is operated by Primark and Rewe and other major tenants such as Contipark, Smyths Toys and Fitness First.

Norton Rose Fulbright advised on the transactional tax aspects of the deal as well as pre-structuring tax work. The sale is in line with RDI's strategic decision to withdraw from its German retail portfolio.

Norton Rose Fulbright partner Uwe Eppler led the tax team advising RDI REIT, with associates Julia Gallinger and Patricia Machulla. The transaction is part of a series of disposals of RDI REIT’s so-called German Silver portfolio where a team around Uwe Eppler has already recently advised on the sale of the Altona Center in Hamburg, two retail warehouses in Kaiserslautern and Waldkraiburg as well as a mixed-use property in Munich-Giesing.

Uwe Eppler has advised RDI REIT and its legal predecessors (Redefine International and Wichford) on a range of matters since 2007. This includes advising on the restructuring and establishment of the joint venture between Redefine and Menora in 2012, subsequent reorganisations and the sale of the VBG portfolio 2016/2017.

Legal advice was provided by Jörn Fingerhuth from the law firm Pinsent Masons.