Global urban real estate specialist Gazit Globe has sold its sole property in Germany, as the Tel-Aviv-headquartered firm continues to dispose of non-core assets.
The mixed-use property, dubbed Motorama, comprises a neighbourhood shopping centre with local services and eateries. It is located in Munich and comprises 24,000 m2.
Gazit acquired the asset in 2008 for €41.6 mln and has sold the property for €87 mln, which is in line with its book value, according to the firm.
The sale follows the company’s announcement earlier this month about disposing of land in Macedonia for €18.3 mln.
Zvi Gordon, VP and head of investments at Gazit said: 'Execution of this disposition is further evidence of the company’s ability to add value through proactive management which included repositioning a portion of the asset from office to residential uses and executing several notable leases, including with the Munich municipality.
'This property was the sole asset of the company in Germany and despite the uncertainty in the capital markets cause by the Covid-19, the sale was completed at full price in accordance with its IFRS book value.'
Chaim Katzman, Gazit's founder and CEO added: 'The sale of our only property in Germany was carried out after we had substantially improved it and at full price.
'The sale was made as part of our strategy, to dispose of properties where we have completed our business plans of enhancing value and that are non-core to our business.
'We will continue to act according to our strategic plan as such, which will increase and strengthen our capital structure and liquidity while at the same time locating unique investment opportunities in our core business areas, such as our announcement yesterday of our acquisition in Boston.'
CBRE advised the vendor.
