Sale of Drammensveien 144 and the Park Inn hotel (NO)

Norwegian Property ASA (OSE:NPRO, NPRO.OL) has entered into an agreement for the sale of Drammensveien 144 in Oslo.

The property value is NOK 324 million (approx. €34 mln.), which is approximately NOK 17 million above current valuation. The buyer is Arivest AS, a company owned by the Havila Ariel group. The current external financing of the property will be continued under the new ownership, on renegotiated terms. The sale is in line with Norwegian Property's strategy to actively develop the portfolio.

The transaction is estimated to be completed in the beginning of March 2009.

Furthermore, Norwegian Property's subsidiary Norgani Hotels AS has entered into an agreement for the sale of the hotel property Park Inn (Tollbugata 28) in Oslo to Kristiania Eiendomsforvaltning AS. The hotel is under construction and would have been completed and taken over by 2010. The property value is NOK 154 million, which is in line with the current valuation.

Source: Hugin

Related News