Warimpex completes sale of Warsaw office to IVG

Listed CEE developer Warimpex said it has completed the sale of Le Palais Offices in Warsaw to German property investor IVG.

The transaction was first signalled at the start of the year and finalised eight months after the property was completed and opened.

The total purchase price for the property was €31 mln.

Le Palais Offices is located in the central business district of Warsaw on the corner of Prózna Street and Grzybowski Square. The property offers 5,300 m2 of Class A office space, and 1,300 m2 of retail and underground club space.

More than 85% of the office space has been leased to several tenants, leaving only some 600 m2 of office space for leasing. All major retail units on the ground floor have been leased as well.

'The storied history of the Prózna buildings and the entire area made the renovation project a very unique challenge. Despite the strict historical monument preservation requirements, our team was able to renovate the building in just eighteen months. And now we have brought this demanding development project to a successful conclusion,' said Franz Jurkowitsch, CEO of Vienna and Warsaw-listed Warimpex.

IVG acquired the property for its IVG Warsaw Fund. Le Palais is the fifth acquisition by the fund, following on from Ujazdowskie 10, N21, Mlodziejowski Palace and Norway House. It is the ninth transaction for IVG in Warsaw in the last three years.

In the last 18 months, IVG Funds has invested more than €1.9 bn across Europe, mainly in Germany and Warsaw. This total includes several large volume club deals like the Prime Portfolio and Gallileo club deals with a volume of approximately €300 mln each.

IVG was represented in the transaction by Jones Lang LaSalle and law firm Dentons. Warimpex was advised by law firm GALT.


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