An unnamed Middle Eastern sovereign wealth fund is in advanced discussions to acquire the Zuiderpoort office complex in Gent, Belgium, PropertyEU has learned.
An unnamed Middle Eastern sovereign wealth fund is in advanced discussions to acquire the Zuiderpoort office complex in Gent, Belgium, PropertyEU has learned.
According to informed sources close to the process, the transaction is expected to be completed by the end of the month. If successful, it would signal a new direction in sovereign wealth funds' capacity to penetrate secondary investment locations. So far, Middle Eastern SWFs have largely been focused on Europe's strongest cities of London, Paris and Frankfurt.
'The transaction would show that the Belgian office market has more depth than people think. Belgium has a strong economy and offers higher yields than its neighbours,' sources said.
The 65,000-m2 multi-let property was acquired in 2006 by Icelandic insurance group Sjova-Almennar Tryggingar hf for EUR 163 mln.
Savills is thought to be advising the vendor on the process.
