Dutch redevelopment specialist Bakkers Hommen has acquired a multi-let office building in the central Dutch city of Amersfoort from M7 Real Estate.
The 5,000 m2 property was divested on behalf of the M7 Islay fund for €6.9 mln.
Having acquired the asset in 2016, M7 undertook renovation works to the property, relocating exiting occupiers and reconfiguring the internal space. This led to M7 signing approximately 2,000 m2 to new occupiers and renewing contracts with existing tenants, including the Royal Dutch Society for Physical Therapy, which agreed to a 10-year lease and uses the building as its headquarters.
As a result of M7’s asset management strategy, the occupancy of the building increased to over 90% from 55%, with a weighted average lease term of 3.37 years.
Niels Bruijninckx, senior asset manager at M7 Netherlands commented: 'Having completed our business plan for this asset, we are pleased to have agreed the sale to Bakkers Hommen.
'The sale crystallises a significant uplift for our investors ahead of our expectations and demonstrates strong demand for good quality, medium-sized inner-city offices close to residential areas.'
M7 Islay is a discretionary fund aimed at high net worth individuals, family offices and institutional investors. Comprising around €330 mln of assets under management, the fund is invested in industrial, retail and office properties in Germany and the Netherlands, comprising a total of 355,000 m2 of lettable space.
Van Doorne was legal adviser to M7.
