Doughty Hanson & Co Real Estate has sold Office Park Nové Butovice, a leading business park in Prague, for €89.5 million to Czech and Slovak Property Fund B.V.
Office Park Nové Butovice comprises three office properties situated around an attractive central plaza. In connection with its Real Estate Solutions programme, Doughty Hanson attracted Accenture to Office Park Nové Butovice to create a European outsourcing headquarters. Other multi-national tenants include Allianz, BMW and Siemens.
The site was acquired in January 2001 by Doughty Hanson & Co Real Estate in co-operation with private investors. Since then, Doughty Hanson has completed three phases of development, creating more than 27,000 m² of high-quality office space. In addition, full permitting has been granted to build an additional office property of over 7,100 m².
Doughty Hanson and two private investors continue to own a neighbouring plot of land and are renewing planning permission to create an additional office (30,000 m²) and residential (20,000 m²) development known as Metronom.
Highlights of the transaction include:
- The sale will return €36.5 million to investors;
- Office Park Nové Butovice was refinanced in 2005, returning €1.4 million to investors;
- The total return on the Fund's equity investment will be a multiple of 5.4 times, excluding any proceeds from the future sale of Metronom;
- The sale of Office Park Nové Butovice is a share transaction.
Kevin Grundy, Principal, Doughty Hanson & Co Real Estate, said: "Office Park Nové Butovice is an example of Doughty Hanson's successful approach to development, working in partnership with businesses to provide real estate solutions. We were among the first pan-European real estate investors operating in the Czech Republic and we are pleased to have delivered an institutional-quality product that satisfies the demands of leading international tenants."
Source: Doughty Hanson