US REIT NorthStar Realty Finance has joined forces with London-based Cale Street Partners to acquire a European office portfolio for €1.1 bn in one of the largest European commercial property deals of 2014.
US REIT NorthStar Realty Finance has joined forces with London-based Cale Street Partners to acquire a European office portfolio for €1.1 bn in one of the largest European commercial property deals of 2014.
The sales contract with vendor SEB Asset Management involves 11 commercial properties in Germany, France, Italy, the Netherlands, Sweden, Belgium, as well as in the UK. The transaction volume reflects the current market value of the portfolio, SEB AM said in a statement.
Cushman & Wakefield advised NorthStar in the transaction, which is expected to close in the first quarter of 2015.
The portfolio includes office properties with long-term leases located in major cities in seven European countries with a total area of around 186,000 m2.
'The great interest by global institutional investors in our Europe Prime Portfolio shows that we have created an attractive investment product,' commented Barbara Knoflach, CEO of SEB Asset Management. 'As part of our portfolio strategy, we will continue to act on the international investment market with attractive core and value-add products.'
The buildings are part of the mutal funds SEB ImmoInvest, SEB ImmoPortfolio Target Return Fund and SEB Global Property. The properties have an occupancy rate of 93% and are spread across London (2 properties), Paris (2), Hamburg (2), Milan, Brussels, Rotterdam, Amsterdam and Gothenburg.
The tenant structure ranges from financial service providers and business consulting firms to telecommunications and insurance companies. Key tenants include BNP Paribas, Ernst & Young (EY), KPN, Deloitte and Cushman & Wakefield.
