GERMANY - An unnamed German pension fund has doubled its investment in a residential joint venture launched last September with real estate investment manager Patrizia.

The pension fund originally committed €100m to the venture, Wohnmodul I, which targets asset repositioning opportunities and development projects within its domestic market.

The partners' value-added investment focus - described by Patrizia at the time as "unique in Germany" - stood out from the wider trend among pension funds for low-risk prime assets.

Patrizia said it had committed a further €10m of its own to the joint venture.

The joint venture, which is structured as a SICAV, reached its target €250m investment earlier this year with the acquisition of residential portfolios in Hamburg and Dusseldorf.

It added them to existing portfolios in Munich and Germering acquired in January for €140m.

The partners have to date committed capital to development projects in Munich, Augsberg and Dusseldorf.

A Patrizia spokesman confirmed the capital had not been earmarked for specific investments, adding that further acquisitions for the vehicle would depend on available opportunities.

"The pension fund has access to value across Patrizia's product range, which means it can do more than just buy and hold," he said.

According to the terms of the joint venture, the pension fund can buy and hold and manage or sell assets during the investment period - an unusual proviso understood to have been included in the original agreement at the pension fund's request.

The pension fund has already sold 29 units to individual buyers from its Munich portfolio.