Schroder Real Estate has acquired a core office and mixed-use portfolio of nine assets in Helsinki, Finland, for around €150 mln from private equity real estate firm Niam.
Schroders acquired the properties on behalf of Schroder Nordic Real Estate Fund, a German special-alternative investment fund The assets have a total lettable area of 52,750 m2 and are split into 8 offices and 1 mixed space.
'The Finnish economy is improving and we are positive about the long term outlook for this market. Helsinki is an attractive investment market with remaining upside potential,' said Eva Granlund, head of Nordic Real Estate Investment at Schroder Real Estate.
The majority of assets are in central Helsinki. The portfolio is let to a variety of occupiers from different sectors including Mandatum, Sito, European Union and Respecta, with lease covenants providing a long term cash flow with upside potential, according to Shroder.
'The portfolio is a welcome addition to the Schroder Nordic Real Estate Fund and fits well with our strategy to grow allocations to those Nordic markets where overall investment performance can be enhanced. This was also a good opportunity to scale our existing Helsinki portfolio,' Granlund added.
'Schroders has a successful long term track record of investing in institutional grade assets in the Nordics for over ten years. This latest acquisition for our Nordic real estate fund is a positive addition to build diversification and improve long term investment performance. We are actively seeking good quality assets for our investors across the Nordic region and apply a rigorous selection process to evaluate the value add for our clients,' she concluded.
