Tristan Capital Partners is looking to 'deploy additional capital' in the Netherlands following the purchase of a €212 mln portfolio from insurance Group Generali.
Tristan Capital Partners is looking to 'deploy additional capital' in the Netherlands following the purchase of a €212 mln portfolio from insurance Group Generali.
The deal, which was tipped by PropertyEU in August, involves 39 commercial assets largely (80%) located in the Netherlands’ central urban conurbation of the Randstad.
'This is Tristan’s first investment in the Netherlands for a number of years,' commented Ali Otmar, managing director Investments at Tristan Capital. 'We are intrigued by the improving macroeconomic fundamentals of the Dutch economy and the increasing strength of tenant demand in a number of key retail and office micro-locations across several Dutch markets. Tristan also looks forward to potentially deploying additional capital into Dutch real estate in transactions that provide a balance of cashflow and opportunities to add value through active asset management.'
The acquisition was completed for Tristan's Episo 4 value-add/opportunity-style fund which raised €1.5 bn of capital in mid-July.
Formerly managed by Generali Real Estate, which also initiated its redevelopment, the portfolio offers over 98,000 m2 of space and represents the majority of the Italian insurer's portfolio in the country.
The 21 retail properties in the portfolio include assets on unique locations such as Amsterdam’s top shopping High Streets, the Kalverstraat and Leidsestraat, as well as Vredenburg in Utrecht. The 10 office properties include locations on the Koningslaan in Amsterdam and Admiraal Helfrichlaan in Utrecht. There are also 321 residential units in the portfolio. About 48% of the rental income of the portfolio comes from retail-led or pure retail properties, 33% from offices and 19% from residential units.
Tristand said the portfolio offers 'Episo 4 the opportunity to enhance rental income through the redevelopment of a number of retail properties in some of the best known shopping streets in the Netherlands, while also providing defensive investment characteristics due to a strong current rental yield'.
This is the first investment of a fund advised by Tristan Capital Partners with Timeless Investments, an investment vehicle for the Van Veggel family. Hans van Veggel was the founder of shopping centre developer-manager Multi Corporation which was taken over by Blackstone Group in 2013.
Timeless Investments, in addition to acting as co-investor, will advise the joint venture on asset management and other repositioning initiatives.
Tim van Veggel of Timeless Investments, the Van Veggel family office, said: 'In line with our roots and philosophy to develop and acquire high quality projects, we are partnering and co-investing alongside Tristan’s Episo 4 fund in the acquisition of the Generali portfolio to provide the asset management services for the entire mixed portfolio.'
Baker & McKenzie, Ernst & Young and Cushman and Wakefield advised the joint venture on the legal, commercial and tax aspects of the transaction. Savills, JLL and Loyens & Loeff advised the vendor.