Three preliminary bids have been received for Lisbon's former fairground site ahead of the deadline for offers, set for December 12 following several postponements.
Spanish REIT Merlin Properties’ Portuguese arm, Chinese Fosun-owned insurer Fidelidade and a unit of US-based investment manager King Street Capital Management have all presented offers for the area which is one of the largest-ever development opportunities in Lisbon.
Although details of the offers have not been disclosed, the bids are believed to be close to the minimum guide price set at €135.7 mln for the land, parcelled as four sites in Entrecampos, in the heart of Lisbon's main office district.
‘Considering the tender format, where investors can increase their bids as in an auction, I would be surprised if there were any offers above the base price,’ said a market expert who wished to remain anonymous.
C&W is advising Fidelidade on the process. CBRE is acting for King Street.
The former fairground site is planned to house a prime, mixed-use CBD scheme of up to 180,000 m2 with a projected end value of €600 mln.
Lisbon’s municipality was initially planning to auction the site last month, but the sales process was extended a number of times and is now set for December 12.
This article first appeared in this week's edition of Europroperty