Hansteen closes 2007 with EUR 29m purchases on Continent

AIM-listed European real estate investor Hansteen said that it has completed six acquisitions for a total of EUR 29 mln in Continental Europe. The properties currently generate annual rental income of EUR 2.44 mln with a potential rent roll upon the letting of vacant buildings of over EUR 3 mln.

The bulk of the acquisitions were in Germany where total transactions came to EUR 22 mln. The assets include two office and warehouse buildings providing 3,848 m² of space close to Dusseldorf airport and a modern 7,120 m² warehouse and office property in Leonburg. All these building are currently vacant.

The company also acquired a small portfolio of properties in Freising, near Munich, with a current rent of EUR 316,000 per annum. The properties are part of a larger portfolio, which Hansteen has contracted to buy from a German bank. The remainder of the portfolio (valued at approximately EUR 4 mln) should complete within the next few months.

In southwest Germany, Hansteen purchased two properties: a 35,995 m² production and storage facility in Offenburg which generates an income of some EUR 1.4 m per annum and includes some development land and a 770 m² satellite testing station in Allmersbach which produces an annual rental income of EUR 36,900.

In the Netherlands, the company purchased some 4,361 m² of warehouse and ancillary office space in Drachten for EUR 1.6 mln with a current rental of EUR 150,000 per annum. And in France, Hansteen acquired a 17,500 m² logistics property north of Marseille for EUR 5.43 mln which generates an annual rental income of EUR 475,234.

The acquisitions round off a busy year for Hansteen. The company acquired 56 properties with a combined value exceeding EUR 300 mln (£227 mln) at average yields close to 8% in 36 different transactions.