Cording and Warburg-HIH Invest acquire Amsterdam office property for Benelux Commercial Real Estate Fund30 June 2017
Amsterdam/Hamburg, 30 June 2017 – Cording Real Estate Group, the Northern European real estate investment and asset management firm, together with Warburg-HIH Invest Real Estate have acquired another property for their Benelux Commercial Real Estate Fund, launched jointly at the end of December 2016. This is the Delphi office building at Wibautstraat, 135-139, in Amsterdam. The vendors are private investors.
Built in 1964 and fully refurbished in 1994, the property has a lettable area of around 7,560 sq m. It is fully let, currently to 10 different tenants, including Vodafone, Scalehub, Colourful Rebel and the Van der Hoeden Mulder legal practice.
The asset is situated close to the Amstel railway station, a major transport hub with bus, tram and underground connections. It also has good road access. The area around the station is to be remodelled in the next few years. This will include construction of a hotel and other buildings with numerous apartments, retail accommodation, offices and leisure facilities.
René de Heus, Director Investment, Benelux, at Cording, commented: "With this transaction, in a short period we have acquired a third property for the Benelux Commercial Real Estate Fund. This acquisition yet again underlines our competence in identifying and purchasing interesting investment properties in an intensely competitive market. Delphi has a strong tenant mix and is in a district that, taking into account the improvements that have already been completed and are planned, will further increase in attractiveness for office occupiers in coming years".
Andreas Schütz, Senior Fund Manager at Warburg-HIH Invest Real Estate, added: "With the Delphi property, despite the high demand for investments of this type among institutional investors in the once again highly sought-after Amsterdam market, we have identified a property that offers potential for Value growth in the medium term and comfortably meets the profile of the fund's yield requirements. A good purchase for our investors".
Houthoff Buruma advised the purchaser on the legal due diligence, Stevens van Dijck on technical matters, Hofstede on environmental issues and Meijburg & Co on taxation.
The Benelux Commercial Real Estate Fund is an open-end special real estate fund. It was issued on an individual instruction for Helaba Invest and another institutional investor. It invests in office and retail property in the Netherlands, Belgium and Luxembourg. So far, the office property De Nieuwe Boompjes in the centre of the port city of Rotterdam and the Van Bylandt Huis in The Hague have been acquired.
The fund has a gross target volume of €300 million, including around €200 million of equity. The planned investment period is two years.
The Benelux Commercial Real Estate Fund will concentrate on properties with diversified rental income in sought-after locations and economically-strong towns and cities in the Netherlands, Belgium and Luxembourg. Cording assumes the acquisition and asset management of each of the fund properties, while Warburg-HIH Invest, as the capital management company, is responsible for fund management.