Alstria Office REIT has acquired a portfolio of 12 office buildings located in Hamburg, Düsseldorf and Berlin for a combined €168.5 mln.
The purchase amount (all-in-cost) reflects a yield of 5.9% and translates into a price per m2 of €1,590.
The properties generate a passing rent of around €9.9 mln per annum and have a weighted average unexpired lease term (WAULT) of 3.4 years. Alstria said the portfolio ‘perfectly matches’ its acquisition criteria in terms of location, average property size and asset management requirements.
The portfolio’s vacancy rate of 21% offers potential for further cashflow improvements going forward, Alstria said.
The acquisition will be financed with €108.5 mln of existing cash and €60 mln of new debt which represents a LTV of around 36%, in line with the company’s mid-term deleveraging target.
‘This transaction allows us to re-invest the proceeds of the disposals that were made last year’, said Olivier Elamine, CEO of Alstria. ‘In a tensed investment market in which we operate, this acquisition demonstrates the ability of the company to continue sourcing and executing attractive opportunities,’ he added.
