Germany's Allianz Renewable Energy Fund (AREF) has announced the acquisition of a 100% interest in the 19.5 MW Great Glemham solar farm in the United Kingdom.

The farm, located some 100 miles northeast of London, marks AREF's third recent acquisition following an Italian solar farm at the end of 2013 and a German wind farm in February.

AREF, part of Allianz Global Investors, financed the acquisition of Great Glemham via financing provided by Bayern LB (70%) and equity (30%).

Armin Sandhövel, chief investment officer of infrastructure equity at Allianz Global Investors, said:

"In addition to helping ensure our investments are geographically diversified, this solar farm should offer stable cash-flows through the Renewables Obligation subsidy scheme, a long-term power purchase agreement with an investment grade consumer as well as a level of sunshine hours comparable to Germany."

The farm is expected to generate an annual output of some 19,000 megawatt hours, capable of providing electricity to about 4,750 U.K. households. Additionally, the installation is receiving 1.6 Renewable Obligation Certificate (ROC) per megawatt hour under the Renewables Obligation (RO) subsidy program.

Great Glemham was developed by German EPC contractor BayWa renewable energy GmbH. BayWa r.e. and Allianz Global Investors are currently working on the development of new projects.

Matthias Taft, BayWa r.e. board chairman, said:

"After the successful sale of Great Glemham, we are pleased to already see great opportunities to continue our professional collaboration with Allianz Global Investors."

The Allianz Renewable Energy Fund was launched as a closed-end fund for institutional investors in 2012 and closed in September 2013 with commitments of €150 million.