Established in 2007 and headquartered in Berlin, BATO Group has a long-term track record in delivering superior risk-adjusted real estate investment returns to institutional investors, family offices and high net-worth individual investors. We also manage the proprietary funds of our principals, co-investing alongside our partners and making standalone real estate principal investments.
BATO Group is active in the commercial, residential and the logistics real estate markets in Berlin, Germany’s tier one cities and selected European gateway cities.
At BATO Group, we take pride in delivering tailored investment and asset management services to our partners with strong regard to their risk tolerance, return requirements, geographical and sectoral preferences and investment horizons.
Being private and independent, we are not constrained by any complex internal regulations, conflicting mandates or slow decision making. By contrast, we are fast, flexible and always take investment decisions based on individual transaction merits, being guided mainly by its risk-return profile from a micro-perspective and the point in the cycle from a macro perspective.
As active investors and equity partners in all of our projects, we bring our fully integrated local expertise and specialised knowledge from our experienced team and trusted partner network to the investment table.
We work with a wide range of German and international real estate investors, ranging from high net-worth individuals, single and multi-family offices, private equity funds and other institutional investors. We know the varying requirements and approaches of these different investors and can develop a strategy and source the most suitable real estate investments for each investor category.
On the financing side, our well-established network of banks and financial institutions enable BATO Group to ensure an optimal capital structure to maximize equity returns without over-levering the investments.
Over the years, we have built a solid and tested partner network, including architects, technical planners and project managers; legal, tax and financial advisers; marketing and PR consultants and other specialised service providers.
Our reputation and transparency allows us to have an efficient open dialogue with the responsible government authorities both on municipal and city levels when we need to secure planning consent or a building permit.
Berlin is BATO Group’s stronghold. We have the proven ability to navigate Europe’s most dynamic and promising – but equally challenging and often non-transparent – property market. We have a very strong network of partners to source off-market transactions ahead of competition.
Our senior team members also have a solid track record of managing investments and closing transactions in other German tier-1 cities (Munich, Frankfurt, Hamburg, Stuttgart), but also in selected European gateway cities (e. g. in London, Milan, Rome, Warsaw, Istanbul, Moscow and other). We currently also have footprints in Munich and in London and we are monitoring those markets for a potential entry at the right point in time. In other gateway cities like Lisbon, Paris, Athens, but also Miami and other cities, we have trusted partner networks with local institutional but equally entrepreneurial managers, which enables us to screen selected potential investment opportunities on a global scale.
Our emerging logistic strategy is pan-German and pan-European.
We are generally sector-agnostic, and our skill set allows us to close and manage successful investments in any of the mainstream sectors. The office segment has traditionally a heavy weight in our AUM, but we have done quite a lot of residential multifamily investments, and the senior team has practical international experience in retail, logistics and student-housing transactions.
We also operate across the risk spectrum from core to opportunistic investments, however, we tend to favour the core plus and value-add segments. We tend to avoid complete greenfield ground-up developments, but we like to have development components as part of larger campus projects or heavy refurbishment programmes.
The acquisitions targeted by BATO Group range typically between €25 and €100 million per project. However, due to our wide range of existing partners who have varying investment requirements, we also selectively consider – based on returns, risk and deal certainty – both smaller and larger transactions, including portfolio transactions.
We calibrate our return targets versus the risk profile, investment horizon and leverage of the specific investment, and we would rather under-promise and over-deliver than vice-versa.
We are passionate and knowledgeable about real estate, architecture, urban planning and sustainability – this allows us to think out of the box and see opportunities where other potential buyers fail to do so. Each of our projects normally has a special theme or unique features which set it apart from the competition and make the investment more defensive.
We strongly advocate a vertically integrated model with a strong investment management mindset. We manage the whole lifecycle of the project, including sourcing, all aspects of acquisition process (due diligence, structuring, financing, documentation, closing), pro-active hands-on asset management (including marketing and leasing, refurbishment and (re)development, bank and investor reporting, loan management, etc.) and ultimately the disposal, distribution of profits and unwinding the structure.
We are big believers in alignment of interest. We always start by understanding the goals and requirements of our partners in any given investment, and we aim to co-invest meaningfully in most of our projects and calibrate our incentive structure for the specific project’s business plan. We strongly believe that we should make money if our partners make money.
BATO Group boasts a small but very close and efficient team. Our Managing Partners Andrea Barbato and Stefan Naumov lead a very diverse and talented team of further 10 people, including acquisition and asset managers, marketing and finance officers. With 5 nationalities and 7 languages spoken among such a small team, we offer a truly multi-cultural environment and a global mindset.
We are in a rapid growth phase following our most recent exciting acquisitions coupled with a very strong pipeline, so we are now pro-actively looking for more talented real estate professionals to join our team. Watch this space for new position advertisements to come out soon!
Andrea Barbato is the founder and managing director of BATO Group Real Estate Investments GmbH. In 2007, he established the company in Berlin and ever since has operated in this market.
After majoring in Law in Rome, Italy, Andrea started his career in London, working for a real estate fund. This inspired him to expand his horizons and look for other business opportunities in less volatile markets, in order to ensure more stable investments. His attention was drawn to Germany – a country open to foreign investors, with a secure economy and having reliable and transparent political relationships – and particularly to Berlin, a European capital with a stable social and political climate, which had attracted massive government investments for the modernization and redevelopment of its infrastructure. This stability has been well perceived by investors, who not only get an investment but also a peace of mind.
Over the years, Andrea kept growing the business, gradually expanding from smaller “friends and family” club investments to bigger transactions with large family offices, private equity funds and institutional investors. Being an excellent networker, Andrea has grown a unique network of business partners in Berlin, Germany and Italy, through which BATO Group regularly gets access to unique off-market real estate acquisition opportunities thanks to the high speed, reliability of execution and the discreet manner of business, which are all valued by its partners.
Stefan Naumov is Managing Partner of BATO Group since the beginning of 2020 when he joined forces with Andrea Barbato to further expand the investment management business of BATO Group in Germany and in Europe.
Stefan is a senior real estate investment professional with over 20 years of diverse experience in real estate principal investment, development and financing, in both emerging and developed markets. Having worked for a wide variety of institutional and entrepreneurial real estate companies, Stefan has a track record of assembling and managing real estate portfolios and strategies “from the cradle to the grave”. Since 2010 to 2018, Stefan was with GIC Real Estate in London. Working for the real estate investment management subsidiary of Singapore’s sovereign wealth fund, he was initially responsible for growing its Emerging Europe portfolio and from 2015 he was leading GIC’s efforts to scale up the real estate portfolio in Germany and in particular in Berlin. Stefan left GIC in 2018 to embark on an entrepreneurial path. In this new setting, Stefan initially worked with a large Turkish family office to set up their Berlin operations and acquired three Berlin assets on their behalf, before teaming up with Andrea Barbato to join BATO Group.
Previous real estate roles held by Stefan include Head of Investments of Horus Capital, a large Moscow office developer and investor, Associate Banker with the European Bank for Reconstruction and Development and an Analyst at Brunswick Capital. Stefan started his career with PwC’s tax structuring team in Moscow.
Vera Wagner joined BATO as Head of Asset and Portfolio Management in 2021. Vera has over 16 years of experience in the real estate sector across all asset types ranging from opportunistic to core investments in various European markets.
Prior to joining BATO, Vera worked from 2015 to 2020 as Head of Asset Management for an international real estate investment management boutique where she was in charge of building the German asset management platform from scratch and oversaw a portfolio of landmark office, mixed-use and hotel properties with a volume in excess of €1.0 billion. From 2008 to 2015, Vera was with Heitman International based in London, Warsaw and Moscow – initially as Vice President in the Acquisitions Group where she sourced and underwrote new investment opportunities and later in the Portfolio & Asset Management team where she managed €750mln of German, Polish and Russian assets across the office, logistics, retail, and residential real estate classes totaling 500,000 sqm. Vera started her real estate career at the European Bank for Reconstruction and Development where she spent four years as an Associate being responsible for analyzing and underwriting new direct and indirect real estate investments – structured as senior debt, equity or mezzanine with a transaction volume of EUR 500 mln.
Vera received a BA in International Relations from the Technical University of Dresden and a MSc in Economics from the University of York.
BATO Group currently has in excess of €600 million of assets under management. Out of over 120,000 m2 of total net rentable area, ca. 80% is commercial (predominantly offices) and ca. 20% residential. In 2019-2020, BATO Group concluded several high-profile acquisitions and one disposal with a combined transaction value in excess of €200 million.
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Below we present a selection of BATO Group’s current and past assets under management. It best illustrates our passion for beautiful real estate and highlights our rigorous stock selection based on location, asset quality and unique features which help to preserve and enhance property cash flows and valuations at any point in the cycle.
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Our office is strategically located in the heart of Berlin, a stone’s throw away from Potsdamer Platz, Friedrichstraße and Checkpoint Charlie, which allows us to be within easy reach from all of our portfolio assets in Berlin.
The "MietenWoG Bln", Berlin's law to freeze and cap rents for residential property on the private housing market, is unconstitutional with retroactive effect. This is the verdict of the Federal Constitutional Court, which puts an end to the "Rent Cap" after just under 14 months.
The "A100" is regularly listed in the surveys of the Federal Highway Research Institute as one of the busiest roads in Germany. Every day, about 170,000 vehicles use at least some of the sections of Berlin's "Stadtautobahn". Given its significance, the A100 is currently being developed further to provide additional short-cuts through Berlin and absorb some of the inner-city road traffic. The extension in development will also serve as the inner-city gate from and to the Berlin International Airport.
The Covid-19 pandemic has posed an enormous challenge to the global and the local economies. Germany’s gross domestic product contracted by 5% in 2020 and Berlin's economic loss for the entire year 2020 is projected to be around 6%. While this is just an average number, many businesses faced far greater losses, while others proved to be more resilient and some even benefited from the crisis. Although the final picture remains to be seen yet, experts agree that the worst anticipations did not come true and recovery is on the horizon. Image by noelsch from Pixabay