US real estate investment fund Heitman sold the Aupark Tower office building in Bratislava to the real estate fund of the investment bank Wood & Company in early June. The consultancy company CBRE, which mediated the deal, describes the transaction as the biggest on the Slovak office real-estate market for seven years. The price, however, was not disclosed.
“Via the acquisition of the office assets Aupark Tower and Lakeside Park in Bratislava and the Hadovka Office Park in Prague, we are strengthening our position in the administration of real estate funds for qualified investors, by which we are trying to satisfy the growing appetite of investors for such assets,” said Martin Šmigura of Wood & Company, as cited in a press release from CBRE.
Developer HB Reavis completed Aupark Tower, next to the Aupark shopping centre on the Petržalka side of the Danube River, in 2008. It has 22 upper-ground floors, one underground floor and 750 parking places. The total rentable area amounts to 35,000 square metres. It holds the BREEAM EXCELLENT certificate. Now it houses such prominent concerns as the IT companies Eset and AT&T and the mobile operator O2.
“This excellent transaction confirms the position of Bratislava as a prominent investment market in central and eastern Europe,” said Anthony Selman, head of investment properties for central & eastern Europe at CBRE, as cited in the press release. “This investment is part of a wave of foreign capital, whose aim is to utilise the difference in investment revenues the Slovak quality office real-estate market offers compared with abroad.”
Heitman European Property Partners IV bought Aupark Tower in 2012 when the price might have been as high as €85.6 million, the Trend weekly reported at that time.
Photo: Courtesy of CBRE
The PNK Group, an international developer of industrial and logistics real estate from Russia, has joined the European real estate market by constructing a new industrial park called PNK Park Sereď in western Slovakia. Spanning 45,000 square metres of industrial space, the park offers premises for various uses: storage, distribution centres and light industry assembly halls.
After the British carmaker Jaguar Land Lover (JLR) announced its plan to build a brand new plant in Nitra, local real estate prices skyrocketed. Now the situation seems to be calming down. This is because the central bank has tightened conditions for taking out mortgages as well as developers announcing projects for the construction of new apartments.
The Czech investment fund Arete Invest, focusing on investment in real estate, is building a new warehouse for the international chain of fashion e-shops Factcool in the industrial park at Nové Mesto nad Váhom.
Investors in Slovakia are becoming more interested in launching their projects on brownfield sites or old industrial premises, Martin Varačka, head of the department of industrial real estate at CBRE Slovensko, confirmed for the TASR newswire. Apart from their further use for manufacturing or warehousing, new functions including residential ones may also be found for such sites.
The average price of flats in all eight Slovak regional capitals increased over July. Nevertheless, the increase of a mere €8 per square metre, from €1,613 to €1,621 per square metre, is the lowest month-on-month increase over the last few months. Thus, the expectations of Vladimír Kubrický, analyst for Realitná únia, have been fulfilled after he predicted that, following the tightening of conditions for taking out mortgages introduced by the National Bank of Slovakia as of July 1, 2018, there would be a stabilisation of prices.
Investors invested almost €500 million into commercial real estate in Slovakia during the first half of 2018. This almost equals investments for the whole year of 2017, which amounted to €535 million, the data of the real estate consultancy company JLL indicates.
One Fashion Outlet 1 near the village of Voderady, the biggest outlet centre in Slovakia, has filed for bankruptcy, the Trend weekly informed. The further fate is now in the hands of the courts.