French investor Remake Asset Management has acquired the Royal Sens’ Rotterdam headquarters via a sale and leaseback deal.
The office and manufacturing site is fully let to the Dutch packaging company, with a 15-year lease term agreed as part of the deal.
The asset comprises 124,000 ft2 (11,500 m2) of office, production and warehouse space, which has been under the ownership of Royal Sens since 1923.
Remake said that the acquisition fitted with its strategy to diversify its portfolio and provide secure, long term and high yielding income streams to its investors.
Remake was advised by global real estate adviser, Knight Frank.
Richard Stewart, partner in Knight Frank’s European capital markets team, said: 'A combination of softening yields, debt costs and current market conditions mean that many investors are still monitoring the market from the sidelines.
'This has created the opportunity to source some really interesting product for Remake across Europe. The current environment of illiquidity, high debt costs and uncertainty has resulted in some very attractive yields for long income opportunities, which fit very well with their strategy.
'The SCPI has offered one of the most attractive distribution yields amongst its competitors in 2023.'
The closing of Royal Sens Headquarters marks Remake’s 32nd acquisition since the France-based real estate investment manager launched its fund in 2022, having added €300 mln to the AU< through 11 deals over the past 12 months, delivering a 7.8% income return profile.
Cushman & Wakefield acted on behalf of Royal Sens.
