In a €60m deal, CA Immobilien Anlagen will take over the remaining shares in the E-Portfolio from its investment partner, the European Bank for Reconstruction and Development (EBRD). CA Immo partnered with EBRD in 2010 following the acquisition of Europolis. The E-Portfolio includes eight office assets (valued at roughly €486m) and four land plots (€25m) located in Prague (Amazon Court, Nile House, Kavci Hory), Bucharest (Europe House, River Place), Budapest (City Gate, Infopark West) and Zagreb (Zagrebtower). All the projects are more than 90 percent leased. The gross yield of the portfolio amounts to 7.9 percent as of March 31, with the loan-to-value ratio standing at around 50 percent.
“The buyout of EBRD is perfectly in line with our strategy to expand existing core office holdings in our core cities and is an important step to further boost our recurring earnings,” said Bruno Ettenauer, CEO of CA Immo. “Furthermore, the acquisition also increases once more the efficiency of our portfolio management, allows an optimization of the underlying financing structure of the portfolio and substantially reduces structural complexity as the portfolio was previously recognized at equity and accounted for more than 60 percent of the group’s assets held at equity. As a consequence of the transaction, approximately €500m of investment properties will be added to the balance sheet and (on an annualized basis) approximately €35m to the group’s rental income due to the full consolidation of the assets.”
