Leasinvest Real Estate refocuses on two asset classes and three countries

         

Leasinvest Real Estate refocuses on two asset classes and three countries:

• strengthening of the position in Austria and in retail by two acquisitions in Vienna
• total divestment of Swiss retail portfolio and
• finalization of divestment of 65% of logistics portfolio in Belgium.

Summary

Mid-October 2017, Leasinvest Real Estate has acquired two important retail parks in Austria, in district no 22 Stadlau of the City of Vienna for an amount of € 56.2 million, strengthening that way its global position in retail and furthering its growth in Austria.

At the beginning of October, the three retail buildings located in Switzerland, in the Vaud Canton, were sold for a global amount of CHF 48 million (€ 41.8 million).

As announced previously, the three Belgian logistics buildings were divested for a total amount of € 60 million, in September and October 2017.

Acquisition retail buildings in Austria

Mid-October 2017, Leasinvest Real Estate, through its Austrian subsidiaries, has acquired 100% of the shares of two Austrian companies, Kadmos Immobilien Leasing GmbH and Adrestos Beteiligungsverwaltungs GmbH. These companies hold respectively a DIY shop Hornbach Baumarkt of 13,300 m² and 10 shops with a global surface of 11,000 m² in a retail park 'Gewerbepark Stadlau' situated in district no 22 Stadlau of the City of Vienna, both very well located retail sites with an important footfall and holding leading positions in the City of Vienna.

The value of these two buildings amounts to € 56.2 million, which is lower than the fair value defined by our real estate expert. The average duration of the rental contracts is 9.3 years. The different indexed rental contracts are signed with renowned international and local retailers, among which the most important are Hornbach Baumarkt, Lidl, Intersport, DM (drugstore), CCC (shoes) and TK Maxx (clothing). The global occupancy rate stands at 100% and represents a total annual rent of € 3.2 million for the two sites.

   

This acquisition is financed, on the one hand, by the partial divestment of our logistics portfolio and, on the other hand, by the integral divestment of our Swiss retail portfolio (see below). A good example of the capital recycling principle followed by Leasinvest throughout its strategy for over 10 years, constantly improving the quality of its real estate portfolio, by divesting less strategic buildings and replacing them with better performing and/or located core buildings.