Union Investment has acquired the Diamond building in Ghent for the special fund UII EuropeanM. The fully-let landmark office features approximately 16,000 square meters of rental space next to Ghent’s main railway station. The seller is a joint venture between Flemish developers Global Estate Group and Life Tree Group. The parties agreed not to disclose the purchase price.
The property is in the Sint-Pieters inner-city development area. The city authorities and Belgian railway company NMBS are creating offices, housing and parks as part of a medium-term plan. The asymmetrical glass façade, reminiscent of a diamond, makes the Diamond an urban Landmark. It is let to Dutch financial services provider ING and Belgian railway operator NMBS. It has BREEAM Very Good pre-certification.
Wolfgang Kessler, a member of the management board at Union Investment Institutional Property GmbH, says, “Ghent is the third-largest city in Belgium and has a strong economy. Due to limited availability of office space, tenant demand for modern, centrally located office space is high.”
UK: LONDON OFFICE COMPLETES FOR £76.5m
McKay Securities Plc has completed the sale of its long leasehold interest in 30 Lombard Street, a prime office building in the City of London. It has been bought by the DEREIF SICAV-FIS German institutional fund. The sale price of £76.5m reflects a net initial yield of 4.16% on a topped-up basis and a capital value of £1,308 per square foot. McKay acquired the long leasehold interest of 30 Lombard Street in 1999. Redevelopment was completed in early 2019, securing a 62% increase in lettable area to 58,500 sq ft. The BREEAM ‘Excellent’ building was pre-let shortly before completion to wealth manager, St. James’s Place plc on a 15-year lease until 2034. Knight Frank acted for McKay and BNP Paribas acted for the purchaser. The image is from Google Maps.b
SPAIN: NEW MADRID WAREHOUSE ACQUIRED
Clarion Partners Europe has acquired a new 37,160 square meter institutional-grade warehouse near Illescas Yeles, south of Madrid. The build-to-suit Madrid property, which was completed earlier this year, is leased to Mediapost Spain, part of La Poste group on a seven-year double net lease. It features 10.8 metre clear heights, 5T/ sqm floor loading capacity, along with 153car parking spaces. The Madrid logistics market has continued to see strong take-up, underpinned by accelerating e-commerce trends. 260,000 sqm of space was leased during H1, representing a 56% increase versus the same period last year. Alistair Calvert, CEO of Clarion Partners Europe, says, “This is an institutional warehouse asset in one of Spain’s major logistics hubs, let to a strong covenant in a market which is expected to continue to grow due to the rapid increase in e-commerce penetration caused by the Covid-19 pandemic.” Clarion Partners Europe was legally advised by HSF and technically by GLEEDS. The vendor was advised by CBRE.
THE NETHERLANDS: CARE COMPLEX PURCHASED
Dutch institutional real estate manager Bouwinvest Real Estate Investors has purchased a care complex in Nieuwegein on behalf of its Healthcare Fund from Kuifmees B.V. The former office building is being converted into a care home for people with dementia. It will be operated by ZorgSpectrum, a not-for-profit company in the elderly care sector, on a long-term lease. The property will be renovated in line with Bouvinest’s sustainability criteria. The complex will provide 76 fully-equipped care units and all residents will have a private room with bathroom. Residents also have access to two communal living rooms on each floor as well as direct access to an outdoor area. The property is in the Doorslag district of Nieuwegein. Erwin Drenth, Director Dutch Healthcare Investments, says, “This acquisition aligns perfectly with our goal to expand our presence in the care home segment. We are very pleased to add this property to our portfolio for ZorgSpectrum.” Source: https://www.bouwinvest.com/news/latest-news/2020/bouwinvest-healthcare-fund-buys-care-complex-in-nieuwegein/
SCOTLAND: GUILDHALL OFFICES BOUGHT FOR C.£30M
Specialist real estate investment firm Maya Capital LLP has completed the acquisition of Guildhall, a high-quality city-centre office, in Glasgow for c.£30 million. The investment is Maya Capital’s first since the outbreak of COVID-19, and represents a net initial yield of around 9.5% and a capital value of £207 per square foot. Guildhall is an almost fully-let landmark office building in Glasgow’s city centre totalling 145,390 sq ft. The building is close to all key public transport hubs and amenities. The acquisition forms part of Maya Capital’s flagship regional UK office strategy, which targets office assets outside London. Total capital deployed by Maya since the launch of this strategy is around £165m.