Acquisition of Belgrade Business Center

GTC acquired Belgrade Business Center, located in the Belgrade’s well-established residential and commercial area. The location in New Belgrade, the city’s central business district, provides an excellent access to 10 city transport lines and is just a few minutes away from an airport, highway and Ada Bridge connecting New Belgrade with the main urban municipality of the Serbian capital. Belgrade Business Center, completed in 2010, offers 17,900 sq. m and 307 parking places at tenants’ disposal. Three large retail units are located on the ground floor together with the lobby area. BBC has been developed with high standards, with an all-glass attractive façade and two entrances both located in the core area of the ground level. Each floor is separated into two wings totaling 790 sq. m and 700 sq. m. The project is one of the most modern office buildings not only in Belgrade but in the whole Serbia. The A-class office center allows for the high floor adaptability and provides the latest security systems. The building is distinguished by an elegant design with luxuriously equipped hallway and proximity to one of the greatest hallmarks of the city – Sava River. The current occupancy rate stands at 97% with key tenants being Air Serbia, UniCredit, and NCR.
Name of the deal Acquisition of Belgrade Business Center
Information about the transaction project/projects/portfolio GTC acquired Belgrade Business Center, located in the Belgrade’s well-established residential and commercial area. The location in New Belgrade, the city’s central business district, provides an excellent access to 10 city transport lines and is just a few minutes away from an airport, highway and Ada Bridge connecting New Belgrade with the main urban municipality of the Serbian capital. Belgrade Business Center, completed in 2010, offers 17,900 sq. m and 307 parking places at tenants’ disposal. Three large retail units are located on the ground floor together with the lobby area. BBC has been developed with high standards, with an all-glass attractive façade and two entrances both located in the core area of the ground level. Each floor is separated into two wings totaling 790 sq. m and 700 sq. m. The project is one of the most modern office buildings not only in Belgrade but in the whole Serbia. The A-class office center allows for the high floor adaptability and provides the latest security systems. The building is distinguished by an elegant design with luxuriously equipped hallway and proximity to one of the greatest hallmarks of the city – Sava River. The current occupancy rate stands at 97% with key tenants being Air Serbia, UniCredit, and NCR.
The date of closing the deal August 2017
Value of the transaction (in EUR) EUR 37 million
Yield 17,900 sq. m
Seller, plus brief information about the company Centrice Real Estate GMBH, a subsidiary of Lone Star, is a leading real estate company in the South East Europe. Their portfolio includes retail properties and office buildings with total lettable area of 338,957 sq. m. Centrice’s headquarters is located in Wien with offices in Ljubljana, Zagreb and Belgrade.
Consultancy which advised Seller -
Purchaser, plus brief information about the company The GTC Group is a leading real estate investor and developer focusing on Poland and three capital cities in Central and Eastern Europe, with over 172 employees across the region. Since 1994 GTC has developed 66 high standard, modern office and retail properties with a total area of nearly 1.2 million sq. m through Central and Eastern Europe. GTC now actively manages a commercial real estate portfolio of 36 commercial buildings providing 614,000 sq. m of lettable office and retail space in Poland, Budapest, Bucharest, Belgrade and Zagreb. In addition, GTC has a development pipeline of 349,000 sq. m retail and office properties in capital cities of Central and Eastern Europe, thereof 110,000 sq. m under construction. GTC S.A. is listed on the Warsaw Stock Exchange and included in the WIG30 index and inward listed on the Johannesburg Stock Exchange. The company’s shares are also included in the Dow Jones STOXX Eastern Europe 300 Index.
Consultancy which advised Purchaser -
Financing institution own funds
Current occupancy level 97%
Please say why this deal should be considered for the award The deal strengthens GTC’s position as one of the Serbia’s leading investors. This was the first major income generating office asset to trade within the country, proving the company’s willingness to continue its expansion and expedite growth in the blooming markets of SEE region. Belgrade Business Center will boost GTC’s recurring NOI by more than EUR 3 million per year with additional potential for NAV growth. Earlier in Q2 2017, in line with its strategy, GTC has also acquired Cascade Office Building in prime CBD location of Bucharest, Romania. It offers 4,200 sq. m of modern leasable area and has a prominent tenant list featuring Procredit Bank, Enel, and Taiwan TC.
Name of the deal
Acquisition of Belgrade Business Center
Information about the transaction project/projects/portfolio
GTC acquired Belgrade Business Center, located in the Belgrade’s well-established residential and commercial area. The location in New Belgrade, the city’s central business district, provides an excellent access to 10 city transport lines and is just a few minutes away from an airport, highway and Ada Bridge connecting New Belgrade with the main urban municipality of the Serbian capital. Belgrade Business Center, completed in 2010, offers 17,900 sq. m and 307 parking places at tenants’ disposal. Three large retail units are located on the ground floor together with the lobby area. BBC has been developed with high standards, with an all-glass attractive façade and two entrances both located in the core area of the ground level. Each floor is separated into two wings totaling 790 sq. m and 700 sq. m. The project is one of the most modern office buildings not only in Belgrade but in the whole Serbia. The A-class office center allows for the high floor adaptability and provides the latest security systems. The building is distinguished by an elegant design with luxuriously equipped hallway and proximity to one of the greatest hallmarks of the city – Sava River. The current occupancy rate stands at 97% with key tenants being Air Serbia, UniCredit, and NCR.
The date of closing the deal
August 2017
Value of the transaction (in EUR)
EUR 37 million
Yield
17,900 sq. m
Seller, plus brief information about the company
Centrice Real Estate GMBH, a subsidiary of Lone Star, is a leading real estate company in the South East Europe. Their portfolio includes retail properties and office buildings with total lettable area of 338,957 sq. m. Centrice’s headquarters is located in Wien with offices in Ljubljana, Zagreb and Belgrade.
Consultancy which advised Seller
-
Purchaser, plus brief information about the company
The GTC Group is a leading real estate investor and developer focusing on Poland and three capital cities in Central and Eastern Europe, with over 172 employees across the region. Since 1994 GTC has developed 66 high standard, modern office and retail properties with a total area of nearly 1.2 million sq. m through Central and Eastern Europe. GTC now actively manages a commercial real estate portfolio of 36 commercial buildings providing 614,000 sq. m of lettable office and retail space in Poland, Budapest, Bucharest, Belgrade and Zagreb. In addition, GTC has a development pipeline of 349,000 sq. m retail and office properties in capital cities of Central and Eastern Europe, thereof 110,000 sq. m under construction. GTC S.A. is listed on the Warsaw Stock Exchange and included in the WIG30 index and inward listed on the Johannesburg Stock Exchange. The company’s shares are also included in the Dow Jones STOXX Eastern Europe 300 Index.
Consultancy which advised Purchaser
-
Financing institution
own funds
Current occupancy level
97%
Please say why this deal should be considered for the award
The deal strengthens GTC’s position as one of the Serbia’s leading investors. This was the first major income generating office asset to trade within the country, proving the company’s willingness to continue its expansion and expedite growth in the blooming markets of SEE region. Belgrade Business Center will boost GTC’s recurring NOI by more than EUR 3 million per year with additional potential for NAV growth. Earlier in Q2 2017, in line with its strategy, GTC has also acquired Cascade Office Building in prime CBD location of Bucharest, Romania. It offers 4,200 sq. m of modern leasable area and has a prominent tenant list featuring Procredit Bank, Enel, and Taiwan TC.

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