Europa Capital has acquired the Hadovka Office Park in Prague for €43 mln, reflecting a 9% initial yield. The deal was carried out on behalf of the group's pan-European investment fund, Europa Fund IV.
Europa Capital has acquired the Hadovka Office Park in Prague for €43 mln, reflecting a 9% initial yield. The deal was carried out on behalf of the group's pan-European investment fund, Europa Fund IV.
Hadovka is a 25,000 m2 office building in Prague 6. The property is 100% leased to a number of international and national tenants. Europa plans to invest 'significant capital' into the asset and will be seeking to optimise the tenant mix.
German lender pbb Deutsche Pfandbriefbank is providing a senior acquisition loan for the asset.
Resolution Capital Management, a specialist CEE asset management company owned by George Leslie, has co-invested in the project with Europa and will be providing asset management services to the project.
'I am delighted to conclude RCM’s first acquisition and I look forward to working with Europa on this project and growing our AUM platform going forward across the CEE region,' said George Leslie.
Robert Martin, principal and head of Central Europe at Europa Capital, commented: 'This is an asset we have tracked over many years and, with the extension of the metro line bringing a significant improvement to the public transport in Prague 6, we believe this is a fully sustainable location where we can offer quality office space at affordable rents. The acquisition of Hadovka fits in with our strategy of acquiring high quality, but often capital-starved buildings, in strategic locations in European capital cities and also where we can add value with quality on-site management and building improvement. The pricing relative to the average Prague office market is very compelling.'
