CA Immo disposes of Renaissance tower in Warsaw

Austrian property company CA Immo International has sold the Renaissance tower in Warsaw, Poland, to an unnamed buyer. Renaissance is an office property in Warsaw's city centre offering some 17,500 m² of space. CA Immo said that the transaction price comes to around EUR 60 mln, representing an increase of some 10% with respect to the latest property valuation carried out on 30 September 2007.

The building was purchased by the CA Immo Group in 2002 for EUR 55 mln and has been fully leased since. The existing tenancy agreement with the largest tenant, a Polish telecommunications company, has just under three years left to run.

In line with CA Immo International's investment strategy, between 10% and 15% of existing income-generating properties is to be sold every year in order to free up capital for other investments and project developments. 'The sale of this property creates additional revenue in a fairly turbulent phase on the capital markets, revenue that is and will remain independent of the short-term fluctuations in share prices. The Net Asset Value and cash basis of the company is therefore increased and greater flexibility created for investment decisions', said chairman Bruno Ettenauer.

CA Immo International's portfolio strategy will be focusing on expansion in the highest-yield markets in Southeastern Europe and the Commonwealth of Independent States (CIS), where the company has become in the past few months with its entry into Serbia and Estonia.