London-listed residential property developer Nanette said on Monday it has agreed to sell a further 45% of its holding in special purpose vehicle Taltoring to EdR Real Estate (Eastern Europe), a subsidiary of the Rothschild Group. Rothschild will pay EUR 337,500 for the stake, in addition to a loan of EUR 7.16mln, bringing the total amount to some EUR 7.5mln.
London-listed residential property developer Nanette said on Monday it has agreed to sell a further 45% of its holding in special purpose vehicle Taltoring to EdR Real Estate (Eastern Europe), a subsidiary of the Rothschild Group. Rothschild will pay EUR 337,500 for the stake, in addition to a loan of EUR 7.16mln, bringing the total amount to some EUR 7.5mln.
The sale follows the divestment last week of a 50% stake in Taltoring to AI Property Holdings (Hungary), a limited partnership based in Delaware. At the time, Nanette said it was seeking additional investment partners for Taltoring, which acquired a 151,000 m2 plot of land in Budapest in April. The land is currently designated for military use but Taltoring is working to have the zoning changed to allow commercial, retail and residential development. Once those changes have been approved, Taltoring intends to sell a portion of the land.
Under the deal with Rothschild, Nanette will be entitled to 30% of the group's share in the profits from Taltoring, provided certain conditions are fulfilled such as an Internal Rate of Return above 25%.
