Deutsche Bank will buy U.S. real estate manager RREEF for $490 million in a deal designed to boost the German group’s product offering in the United States, said Armin Nedermeier, Deutsche Bank spokesman. The deal follows the bank’s acquisition last year of Zurich Scudder’s mutual funds operations and is Deutsche’s first acquisition of a U.S.-based real estate manager. RREEF will retain its brand name but operate as a business unit with Deutsche Asset Management’s real estate investment management business, DB Real Estate.
The transaction will be completed in the next three months and will boost the group’s real estate assets under management to $36 billion.
