Hungarian fund manager Diófa has acquired the 26,000 m2 Europark shopping centre in Budapest from listed real estate company Unibail-Rodamco.
The financial details of the transaction, which was entirely funded by capital from Diófa's open-ended Magyar Posta Takarék Real Estate Fund, were not disclosed.
Diófa Fund Management said the acquisition was entirely funded by Diófa's own capital and was the result of a year-long constructive cooperation with Unibail-Rodamco. The Europark shopping centre comprises a 26,000 m2 gross leasable area and has an occupancy rate of 90%. Diófa said that it plans to bring in new brands and carry out renovation works in the near future.
Law firm Jalsovszky acted for the buyer.
Diófa also announced that it acquired a second retail scheme, the 14,000 m2 GLA Zala Park Retail Park, in the western part of Hungary as part of the fund manager's 'active expansion strategy'. The asset was purchased from Resideal Zrt for an undisclosed sum on behalf of Magyar Posta Takarék Real Estate Fund.
'Retail has been historically popular on the investment market and was responsible for one fourth of the total Hungarian real estate investment volume in the past years. Due to continuously decreasing yield volumes and the market shifting towards a landlords' market, this segment is currently one of the most attractive targets for investors,' said László Vas, property investment director at Diófa Fund Management.
Diófa Fund Management has been actively investing in real estate in the past three years on behalf of institutional and private investors through one open-ended and three closed-ended funds. Magyar Posta Takarék Real Estate Fund is the second largest open-ended fund in Hungary.
Diófa's three funds have a combined net asset value of HUF 130 bn (€410 mln) spread across 12 assets in Hungary, including modern offices buildings such as Green House, Infopark E, Óbuda Gate and Ü48.
