Rodamco Nederland, part of Rodamco Europe, has sold to IEF Capital a property portfolio for a total of Ã¢âÂ¬ 110 million. The portfolio consists of seventeen office properties.
The sale is in line with Rodamco EuropeÃ¢â¬â¢s strategy, whereby Ã¢â¬"as in the other key European countries where Rodamco Europe operates- the focus is on the retail sector, in particular on high-quality shopping centres. In general a better synergy between costs and revenues can be achieved in this sector than in other sectors within the real estate market. This sale is in line with earlier divestments from Rodamco Europe in the office and industrials sector.
The portfolio has been bought by IEF Capital, a joint venture between Inflation Exchange Fund (IEF) and Bouwfonds Asset Management (a subsidiary of ABN AMRO Bouwfonds). IEF Capital structures and offers asset-backed securitised inflation hedged products.
Last year, IEF Capital bought for approximately Ã¢âÂ¬400 million in commercial real estate and sold inflation-linked products to one of the NetherlandÃ¢â¬â¢s largest pension funds. With the purchase of another Ã¢âÂ¬110 million in commercial property from Rodamco Nederland, IEF Capital is further expanding her inflation-linked income. IEF capitalises on the decline in the Dutch commercial real estate market. In the near future IEF Capital expects to acquire additional quality real estate portfolios (recently IEF bought all of Shell Pension FundÃ¢â¬â¢s commercial real estate)
IEF Capital is the first to offer Ã¢â¬ÅDutch inflation linked bondsÃ¢â¬Å, for which there has been a large amount of interest from Dutch pension funds and banks.
In view of increased awareness of Dutch pension funds of the benefits of hedging pension obligations against the risks of inflation, the interest in the IEF Capital structured inflation-linked products is very large.
Source: Rodamco Nederland