Genesta has divested Grensen 5-7, a retail and office property in Oslo, on behalf of its managed fund Genesta Nordic Baltic Real Estate (GNBRE), for about NOK630 mln (€74 mln). The purchaser is European Property Investors Special Opportunities 3 (EPISO 3), a fund advised by pan-European real estate investment manager Tristan Capital Partners.
The property is located on Grensen, a prime retail street in Oslo city center. The property comprises 14,000 m² of leasable space occupied primarily by Norway’s largest online marketplace Finn.no, international retailer Lindex, online music service Tidal and sports retailer G-Sport.
Genesta acquired Grensen 5-7 on behalf of GNBRE in December 2009 and at that time the property had an occupancy rate of 85%. Under Genesta’s management the NOI has increased by 40% mainly through the leasing-up of vacant space and renegotiating leases on better terms.
David C. Neil, CEO of Genesta: “Following the divestment of Grensen, GNBRE has successfully divested assets of EUR 235 million. According to IPD, GNBRE’s total annual return, over a five-year period, is 10.8% - substantially outperforming the IPD Standard Nordic Benchmark by an average of 3.5 percentage points per year1. GNBRE is a 2007 vintage value-added fund.”
Akershus Eiendom acted as financial advisors and Wikborg Rein as legal advisors to Genesta in the transaction.