Sale of City Business Center III, IV and V in Bratislava

Award: Investment Deal of the Year, CEE
Name of deal: Sale of City Business Center III, IV and V in Bratislava
Value of the transaction (in EUR): above 60 m EUR

Yield: approximately 7%
Seller, plus brief information about the company: HB Reavis Group, leading commercial real-estate developer in CEE with over 750,000 sq m of office, retail and logistic space delivered and another 1M sq m in planning or permit stages
Consultancy which advised Seller: CBRE

Purchaser, plus brief information about the company:

Tatra Asset Management (TAM) is owned by Tatra banka, a member of the Raiffeisen International Group. TAM manages broad portfolio of 17 mutual funds covering various categories of mutual funds.
Consultancy which advised Purchaser: Colliers

Financing institution: VUB (Intesa Group)
Why this deal should be considered for the award:

City Business Center (CBC) III, IV and V are three buildings offering a total of ca. 26 000 sq. m of high-class rentable space in the center of Bratislava. The scheme was completed in 2011 and is fully rented to a wide range of prestigious tenants including Johnson & Johnson, Swiss Re, Sygic, Schneider Electric, and Zepter. The implied transaction yield of approx. 7% reflects the asset’s high quality, great location and excellent tenant roster. From the purchaser’s perspective, the acquisition of City Business Center has strong potential to deliver stable revenues from long term leases. The transaction is a confirmation of an increasing appetite for quality commercial assets in the Slovak real estate market among investors. For HGB Reavis, this deal is a proof that renowned institutional investors have a long-standing interest in company’s projects. The sale of CBC III, IV and V demonstrates the continuous successful appreciation of HB Reavis’s projects in the Central European market.

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