BPT Optima closes one of the biggest deals in Warsaw
9 October 2006
Related to
BPT Optima
Today, Baltic Property Trust's
Luxembourg-based fund, BPT Optima S.A., SICAR, has closed the
aquisition of Zelazna Centre in Warsaw, Poland. The Zelazna Centre
consists of two buildings constituting a modern business centre of
approximately 21,000 sqm situated in the central business district
of Warsaw.
This aquisition value of around
€40mn positions Baltic Property Trust among the largest
international investors in the Polish real estate market. The
acquisition is BPT's second in Poland this year, following the
former shipyard in Gdansk, Young City which BPT acquired in May
2006.
The Zelazna Centre is situated in
Warsaw's central business district close to the SAS Radisson Hotel,
Westin Hotel and the new Hilton conference centre. The two
buildings were built in two phases during 2003-2005. The buildings
are fully let with institutional lease agreements with average
lease durations of 4-7 years. The main tenants are the Polish Air
Services, the Polish National Road Directorate and finally the
Agency for Restructuring and Modernisation of Agriculture.
Thus, the vast majority of the leases are with stable tenants,
where BPT can establish long-term relationships; which is an
important part of BPT's business model and a key succes factor for
the strong performance since 2001.
CEO and Fund Manager Lars Ohnemus
comments on the acquisition : "For similar properties within the
office segment in Warsaw the yields have compressed to 6.5%-7.0%
during the last 12-18 months due to a more competitive market
environment. With the acquisition of the Zelazna Centre BPT has
ensured the fund a yield that is comfortably within the fund's
target yield of 7%-10% combined with an acceptable risk profile.
This underlines the value of having a local team in Poland".
Lars Ohnemus continues: "In Q2 2006
BPT Optima's yield was 8.9%, excluding write-ups and extraordinary
capital gains. All taken into consideration we expect that 2006
will end at a more than satisfactory level for our investors and we
expect to pay out a dividend of 8% for 2006".
The real estate agent KOBA and the
law office of Stampe, Haume & Hasselriis were advising on the
acquisition, while DnB Nord was responsible for the financing.
For more information please contact:
Fund manager and CEO Lars Ohnemus
Phone +45 33 69 07 33
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