Property fund company Degi Deutsche Gesellschaft fur Immobilienfonds has purchased a fully-let office building in central Brussels on behalf of its Degi International fund for a total investment of EUR 41.2 mln. The finance department of the Belgian government currently occupies the 12-storey building in Avenue Louise, with 26,405 m[sup]2[/sup] of lettable area.
Property fund company Degi Deutsche Gesellschaft fur Immobilienfonds has purchased a fully-let office building in central Brussels on behalf of its Degi International fund for a total investment of EUR 41.2 mln. The finance department of the Belgian government currently occupies the 12-storey building in Avenue Louise, with 26,405 m2 of lettable area.
Degi acquired the property from Belgian project development company Burco Europe, which after the current tenancy agreement expires, will in 2009 oversee a substantial refurbishment and modernisation project for the building that dates from 1975. The contract also includes marketing of what will then be Class A space.
This Degi International fund's fourth asset in the Belgian capital, and Belgium's weight in the fund's regional allocation is now about 9.6%. Degi said high demand from EU institutions, associations, representative offices and multinational companies has made demand in the city exceptionally stable. Vacancy raties vary between 3 and 7%.
