ING Real Estate announces the 90 mln. acquisition of the Westend-Ottensen office building in Hamburg, the Ernst-August-Carre in Hannover and Office Park Rheinlanddamm in Dortmund. All three properties will be added the portfolio of the ING Real Estate European Office Fund.
Westend-Ottenson consists of 11,971 sq m together with 297 parking spaces. The property comprises four separate buildings and tenants include SinnerShrader AG and Research International GmbH & Co. KG, among others.
Ernst-August-Carre is located in the central business district of Hannover and offers 6,715 m² of office, retail and storage space. The property was fully refurbished in 2003 to architectural acclaim. The main tenant is Deutsche Bahn and additional tenants include KAV, Randstadt Deutschland and Bruns & Heinemann.
Office Park Rheinlanddamm is located on the B1 Boulevard, one of Dortmund's prime office locations. The building has 11,192 m² of office space, 1,026 m² of storage space and 235 parking spaces. The main tenant is Niebaum, Kohler, Punge & Söder.
Commenting on the acquisitions Leo Weidenaar, Fund Manager ING Real Estate European Office Fund, said "The prospects for the Hamburg office market are positive with good growth projected over the next few years. Occupier turnover has increased by 10% in 2006 as compared to 2005, which provides a good indication for future growth in leasing activity."
He added: "Ernst-August-Carre offers exposure to Hannover's very stable office market, which is, at the moment, one of Europe's most promising markets. In addition, the Dortmund office market is growing very fast, with increased supply and demand resulting in lower vacancy rates. Take-up increased by 40% in 2006 and is expected to be strong again in 2007."
First property in Romania
ING Real Estate has reached agreement to acquire full ownership of the Felicia Shopping Centre in Iasi, Romania by buying the Belgian company Felicia Invest. The total investment amounts to approximately 40 mln. The property will be added to the ING Property Fund Central and Eastern Europe (ING PFCEE), a semi-open ended real estate fund with a target size of 1 bln.
Felicia Shopping Centre has a gross lettable area of approximately 26,330 m² and opened to the public today. It is the first of its kind in the north-eastern Romanian city of Iasi, which has a population of 317,812. The property's anchor tenants include Carrefour hypermarket (not included in the transaction), a Media Galaxy electronics retailer, an Intersport sport goods retailer and a Marks & Spencer department store.
Commenting on the acquisition, Martin Sabelko, Managing Director of ING Real Estate Investment Management Central and Eastern Europe, said: "We are delighted with our very first acquisition in Romania. Felicia Shopping Centre is a promising new retail asset in one of Romania's largest cities and forms a solid basis for our future expansion in the fast-growing Romanian market."
Source: ING Real Estate