Eurobuild Awards

Fahrenheit Mixed-Use Portfolio

CATEGORY
Investment deal of the year, CEE
Portfolio of 11 core and core+ retail and mixed-use (retail and office) assets in four CEE counties: Czech Republic, Hungary, Poland and Romania. The portfolio includes 9 shopping centers: Olympia shopping center and retail park (both located in Plzen, Czech Republic), Nisa shopping center located in Liberec, Czech Republic, recently re-developed Ogrody Shopping Center located in Elbląg, Poland, two large-scale shopping centers located in Budapest, Hungary: Campona and Polus, two local Interspar centers located in Hungarian town of Zalaegerszeg and Nyiregyhaza as well Felicia shopping center located in Iasi, Romania. On the top of those retail centers two mixed-use assets have been disposed as well: Zlaty Andel in Prague and Andrassy Palace in Budapest. This portfolio can be clearly defined as core and core+ with minor value-add element. This was the largest cross-border portfolio transaction in the CEE in 2017, covering 4 jurisdictions.
Name of the deal
Fahrenheit Mixed-Use Portfolio
The date of closing the deal
March 2017
Value of the transaction (in EUR)
650,000,000
Yield
not disclosed
Seller, plus brief information about the company
Two real estate funds fully managed by CBRE Global Investors.
CBRE Global Investors is a leading global real estate investment manager with $86.5 billion in assets under management. The company offers a broad suite of real estate investment programs, which are diversified across risk/return strategies, regions and property types worldwide.
The CBRE Global Investors EMEA platform, with €29.4 billion of assets under management is one of the largest and most diversified real estate investment management business. The platform has 14 offices in 14 countries, managing investments in 16 countries across Europe. In the region, programs include Core/Core+ and Value-Added strategies through separate accounts and commingled equity funds in the UK, Western and Southern Europe, Central Eastern Europe and the Nordics.
Consultancy which advised Seller
Cushman & Wakefield, Clifford Chance
Purchaser, plus brief information about the company
CPI Group.
Luxembourg based CPI Property Group is the leading European investor and operator of commercial, residential and hotel properties, focusing on investments mainly the CEE region and Germany.
Consultancy which advised Purchaser
Dentons, CBRE
Financing institution
The bank financing has been arranged through several loans at a total of €440 million, with CPI Property Group providing the remaining amount from its own funds. In the Czech Republic, financing has been provided by a bank syndicate composed of Helaba and ČSOB; in Poland, solely provided by Helaba; in Hungary by UniCredit Bank, Raiffeisenbank and Sberbank; and in Romania by HypoNoe Bank. ČSOB was also covering the whole transaction as the escrow agent.
Current occupancy level
95%
Please say why this deal should be considered for the award
Trully pan-regional retail platform guaranting signifficant footprint in the region. The complexity of the transaction can be defined by: 265,000 sqm of GLA, 11 assets, six jurisdictions (4 for respective properties and two for domiciled funds), 2 anti-trust approvals, 8 banks involved, 3.5 months.