Lenders Pbb and ING have provided €150 mln in equal shares to South Korean investors Hana Financial Investment and NH Investment & Securities for the acquisition of an office property in the Amsterdam business park Sloterdijk.
The investors, which were advised by Hamburg/Amsterdam-based Company Warburg-HIH Invest Real Estate, inked the acquisition of the Edge green office building in May of this year for between €225 mln and €250 mln, representing a gross initial yield of nearly 5%.
Constructed in the 1970s, the 47,700 m2 asset is being comprehensively modernised and overhauled by OVG's Edge Technologies, with the works programme due to be completed in 2021. An additional building that will add 5.500 m2 of lettable space is expected to be completed in 2022.
The building is 80% occupied, with major tenants including gas and transmission grid operator Alliander NV, APG Group and Intertrust Nethelerlands BV. The weighted average lease term is 14 years.
Norbert Müller, head of Real Estate Finance Continental Europe West said: 'Tenant Demands and rents have developed very strongly in this Amsterdam growing submarket in recent years. We are happy to support, alongside ING, the Investors in this transaction to acquire a technologically pioneering and environmental friendly building.'