Aberdeen Property Nordic Fund I SICAV - FIS, acquired a fully let office scheme in the Norwegian oil town of Stavanger for approximately 16 million. The office scheme currently under construction, will provide a gross lettable area of about 6,500 m² and about 150 parking spaces.
Long before its completion scheduled for the first semester of 2010, the complete building has been let to a single tenant for a ten-year term.
The office scheme is located in the Forus Business Park in the city district of Stavanger, a central business location. Stavanger is Norway' s third-largest economic region after Oslo and Bergen. Like few other regions, Stavanger benefits from the oil wealth of Norway.
Aberdeen Property Nordic Fund I for institutional investors, has a targeted volume of approximately 420 million half of which represents investor equity.
"With this investment, we have managed to increase high level of diversification of our Nordic Fund I even further The fund now has a broad-based Nordic portfolio of 12 portfolio properties and more than 130 tenants. At the moment, it generates a cash-flow return on investment of over 5%. In the long-term investment horizon, the total return could actually be much higher," said Alexander Tannenbaum, Managing Director of Aberdeen Property Investors Deutschland and in charge for the fund' s investor relations in Germany.
For some time now, the Nordic region has not only been synonymous with an above-average economic performance but has also represented stability and reliability, especially during the global economic crisis. "The economy and, the property markets in the Nordic region present a robust picture compared to the EU average," Tannenbaum underlines.