JV acquires former Royal Danish Conservatory of Music

A Danish-UK joint venture has acquired the former home of the Royal Danish Conservatory of Music in Copenhagen for an undisclosed sum. The investment was carried out by the Saxo Properties and London-based investment firm Meghraj on behalf of a group of private investors.

The vendor was Danish government property company Freja.

The former conservatory in central Copenhagen consists of two buildings, totalling 7,600 m2, which were built at the turn of the 20th century. The joint venture plans to undertake a major renovation worth about DKK 80 mln (EUR 11 mln) to make the property suitable as a company headquarters. The leasing process has already been started.

Saxo Properties was launched by Danish bank Saxo in March 2010 to provide closed-end funds for both high-net-worth clients and institutional investors, focusing on residential, office and retail property in Central Copenhagen.

A joint venture formed last year between Saxo Properties and European fund manager Resolution Property has co-invested DKK 850 mln of a target of DKK 1.9 bn in properties in the in and around the centre of Copenhagen. Saxo Properties and Resolution Property expect to invest an additional DKK 125 mln into the newly purchased properties, already acquired by a variety of institutions, pension funds and individuals. The venture is targeting residential and mixed use, residential and commercial buildings with an asset management angle.