HIG Capital launches German housing platform

H.I.G. Capital has launched Highground Living, a €1bn German residential platform, to tap into Europe’s structurally undersupplied housing market. The new platform, headquartered in Berlin, combines the firm’s existing investments and operations in the city under a single institutional structure.

The launch of Highground Living is not just a rebranding of existing assets, but also involves the deployment of fresh capital into a €450m high-quality residential portfolio in Leipzig and Dresden. This gives Highground a presence in three of Germany’s strongest urban markets from the start.

Highground Living is designed to improve asset performance while scaling housing delivery across Germany. The company combines institutional ownership with an experienced local operating platform. H.I.G. Capital has stated its intention to expand Highground’s portfolio and operating platform over time, citing Germany’s structural housing shortages and resilient demand as the backdrop for continued growth.

Highground is an active, well-capitalized consolidator that owners of residential assets or development land in Berlin, Leipzig, and Dresden should expect to see bidding for further opportunities. They have long-term ambitions for the platform to create long-term value through active asset management and disciplined portfolio growth.

Riccardo Dallolio, Managing Director and Head of H.I.G. Realty Europe, described the launch of Highground as a strategic milestone for the firm’s European residential strategy. He noted that German residential is one of the firm’s high-conviction markets, and Highground provides a scalable platform to capitalize on the current market opportunity.

Stelios Theodosiou, Managing Director at H.I.G. Realty in Europe, pointed to the platform’s long-term ambitions, saying that Highground provides an institutional operating platform capable of creating long-term value. The firm looks forward to supporting the management team as the business grows across Germany’s residential market.

The platform is part of H.I.G. Capital’s substantial global operation, with €65.4bn under management and a presence in multiple countries. Since its founding in 1993, the firm has invested in and managed over 400 companies worldwide, giving Highground significant institutional backing as it pursues growth across Germany’s residential sector.

H.I.G. Capital’s global reach and scale are expected to support Highground’s growth ambitions. It has a current portfolio spanning over 100 companies with combined sales exceeding €46.2bn. This scale gives Highground the resources it needs to pursue opportunities in Germany’s residential market.

Highground Living is well-positioned to capitalize on the opportunities that arise in the German residential market. With its experienced local operating platform and institutional ownership, the company is expected to play a significant role in shaping the market’s future.

Highground Living’s launch is a significant development in the German residential market, and the company’s growth ambitions are likely to have a major impact on the sector. With strong institutional backing and an experienced management team, Highground is well-positioned to achieve its goals and become a major player in the market, amidst a home construction slowdown.