Property giant Deutsche Wohnen SE agreed to buy a German residential portfolio for €685 million from Sweden-based Akelius Residential Property AB (publ), REFI Europe reported.

The portfolio — across Frankfurt, Cologne and Düsseldorf — totals 2,850 residential units and 100 commercial units.

The portfolio is expected to generate roughly €22 million in annual net cold rent. The purchase price reflects a multiple of 29.1 on a fully rented basis, according to the March 18 report.

The transaction is scheduled to close in June, Akelius said in a separate release, adding that it will use the proceeds from the sale to reduce debt.

The sale was reported to be in the works in February.