Austrian listed property firm CA Immo has announced the sale of a non-core asset with the disposal of the Canada Square office building in Budapest. The buyer is the Hungarian Investor Investum Kft.
Although financial details were not disclosed, CA Immo said that the sales price represented a 28% premium to the book value of the assets as at 31 December 2020.
The scheme provides around 5,000 m2 of office space in Budapest's 'Central Buda' submarket. Constructed in 2004, the property is well maintained and fully occupied.
'With this profitable sale we continue our strategic capital rotation programme where we seek to profitably divest assets with no strategic fit in our long-term portfolio,' commented Keegan Viscius, CIO of CA Immo. 'The overriding goal is to sharpen the focus on large, modern office properties in prime locations in our core cities, thereby sustainably increasing portfolio quality and management efficiency.'
The proceeds of the sale will be reinvested into value accretive investments in core premium office properties, including the build out of the firm's development pipeline in Germany as well as external property acquisitions.