On December 2, 2013 Leasinvest Real Estate, via its 100% subsidiary Leasinvest Immo Lux, acquired 100% of the shares of a Company owning a retail building of more than 12,000 m² with 475 parking spaces, located in the periphery of the city of Luxembourg. This very well-located retail building is leased for a fixed term of 10 years to the German DIY group Hornbach, market leader in the Grand Duchy of Luxembourg and the only DIY-store of this size in Luxembourg. The acquisition value of the building amounted to € 25.5 million, which corresponds to the fair value based on an initial yield of 6.75%.
With this acquisition, the retail part and the part of the Grand Duchy of Luxembourg in the consolidated real estate portfolio further increase to respectively 42% (30/09/2013: 40%) and 60% (30/09/2013: 58%). Leasinvest Immo Lux owns in Luxembourg more than 100,000 m² of shops in seven regions, namely Schmiede, Pommerloch, Diekirch, Strassen, Bourmicht, Foetz and Dudelange.
Jean-Louis Appelmans, CEO, commented: "This acquisition represents an important extension of our retail portfolio in the Grand Duchy of Luxembourg and perfectly complements our strategic retail positions in Luxembourg. A peripheral retail building of this size with an important international tenant is a rare opportunity in this market and this acquisition is the perfect closure of a successful year for Leasinvest Real Estate."
Source: LeasInvest Real Estate