Technopolis buys office in Vilnius

Listed Finnish property company Technopolis has completed the purchase of a 43,000 m2 office complex in Vilnius, Lithuania for nearly €63 mln.

The asset was acquired from local group Icor.

The complex consists of two fully let existing buildings with a rentable area of 31,200 m2 as well as a third asset due for completion in October this year. The property provides 11,000 m2 and has a pre-let rate of 76%.

The net market yield of the investment is 8.2%, Technopolis said, while the net initial cash flow-based yield is 7.6%.

'The Technopolis Vilnius campus will represent a 9% share of the Vilnius office market once the building under construction has been completed,' the buyer added.

As a result of the acquisition, Technopolis is upgrading its 2013 net sales and EBITDA growth guidance from 9-12% to 14-17%.