PensionDanmark splashes out €161m on three office properties

PensionDanmark has acquired three office properties across Denmark for DKK 1.2 bn (€161 mln), representing just over half its planned annual allocation for real estate investment transactions.

The €23 bn pension fund acquired the properties in the Danish towns of Ballerup, Odense and Aalborg from local government agency Kombit. The assets, totalling 88,000 m2, are let to IT firm KMD.

'The investment in the three KMD property is part of our strategy to expand our portfolio of well-located office properties with reliable tenants on long leases. We expect that this investment will give our members a good return in the coming years,' said Torben Pedersen Möger, president of PensionDanmark.

The investment volume accounts for just over half PensionDanmark's annual allocation of DKK 2 bn for new real estate acquisitions. Following these transactions, the pension fund has DKK 11 bn of real estate assets under management.