Austrian listed property group Immofinanz has sold its 50% stake in the Andreas Quarter development project in Düsseldorf to an unnamed buyer. In a statement on Monday, the CEE developer-investor said the sale generated a return of 7% on a total investment of EUR 40 mln.
Austrian listed property group Immofinanz has sold its 50% stake in the Andreas Quarter development project in Düsseldorf to an unnamed buyer. In a statement on Monday, the CEE developer-investor said the sale generated a return of 7% on a total investment of EUR 40 mln.
The scheme represented a 50:50 partnership with German developer Frankonia Eurobau.
Immofinanz said the sale is in line with its strategy to either divest non-controlling stakes in development projects or to turn them into majority holdings.
'The Andreas Quarter is an excellent, but very demanding development project. The usage concept represents a particular challenge, above all with respect to profitability, because of legal regulations covering the protection of historical buildings,' said CEO Eduard Zehetner.
The proceeds will be reinvested in Immofinanz's Eastern European core markets, particularly in Poland and in Russia where the company expects higher returns over the medium- to long-term.
