East Capital Baltic Property Fund II (“the Fund”), managed by East Capital, has acquired the Metro Plaza office building in Tallinn, Estonia. The property, located in the central business district (CBD) of Tallinn, was previously owned by Lords LB Baltic Fund I. The purchase price was €21.8 million, implying a yield rate of 7%.
“Our acquisition of Metro Plaza is another investment that illustrates the attractiveness of the Baltic real estate sector. The combination of a high yield level and favourable financing terms creates attractive investment opportunities in this market”, said Kestutis Sasnauskas, Head of East Capital Private Equity and Real Estate.
The Metro Plaza center is a modern building that reflects the vibrant business growth of Estonia's capital. The center is close to the harbour and is in walking distance of nearby Toompea hill, home to Estonia's Parliament building and several foreign embassies.
“Through this transaction, East Capital Baltic Property Fund II acquired a well-known A-class office building in CBD Tallinn. With this purchase, East Capital’s total real estate assets under management increase to €284 million, 250,000 m² and 500 leases in all three Baltic countries. This reconfirms East Capital’s position as one of the leading participants in the Baltic real estate market”, said Madis Raidma, Real Estate CEO at East Capital.
Source: East Capital