Focus Nordic Cities, a German open-ended real estate fund managed by Catella Real Estate, has acquired a 12,800 m[sup]2[/sup] office property located on one of the main streets in the Latvian capital Riga. The property on Duntes Street was developed and sold by Baltic developer E.L.L. Real Estate and is let to major corporates Statoil, Samsung and Ericsson. E.L.L. Real Estate's Latvian office is also based in the building. E.L.L. Real Estate developed the building in cooperation with SIA Merks, which is a daughter company of the largest construction company in the Baltics.
Focus Nordic Cities, a German open-ended real estate fund managed by Catella Real Estate, has acquired a 12,800 m2 office property located on one of the main streets in the Latvian capital Riga. The property on Duntes Street was developed and sold by Baltic developer E.L.L. Real Estate and is let to major corporates Statoil, Samsung and Ericsson. E.L.L. Real Estate's Latvian office is also based in the building. E.L.L. Real Estate developed the building in cooperation with SIA Merks, which is a daughter company of the largest construction company in the Baltics.
The Duntes offices has already received a couple of architectural prizes and in spring 2008 was chosen as a best office building in Latvia. Pauls Platais, partner of Catella Corporate Finance, commented: 'The transaction indicates continuing interest for good quality cash flow generating properties in the Baltics by foreign institutional investors. It stabilizes the real estate market and opens opportunities to allocate funds for further development by well established developers. This is likely to be the trend for the upcoming years - perhaps less real estate transactions, but more transactions by large institutional investors.'
