Curzon Capital Partners 5 LL (CCP 5 LL), the core-plus fund advised by Tristan Capital Partners, has acquired an office portfolio of seven buildings primarily located in the Central Business District (CBD Zone 1 and 2) of Lisbon, for a total consideration of €100m. The portfolio was purchased from Vision Escritorios, a regulated, closed-end fund managed by Norfin.
The assets, comprising a total of 38,421m², include a landmark office building at Rua Castilho, five office buildings in Zone 2 and a mixed-use building in the nearby suburb of Carnaxide. The portfolio is 95% let and has a well-diversified tenant mix and offers attractive rent reversion. All of the assets benefit from good parking ratios and are located within a short walk from public transport.
Nikolay Velev, Executive Director, Tristan Capital Partners said: “This portfolio acquisition represents our first deal in Portugal and offers our investors immediate exposure to Lisbon’s CBD, which we believe will continue to perform well on the back of a strong supply-demand imbalance. The portfolio locations are very attractive and once our plan to improve the assets has been implemented, they will be well-positioned to capture the growing demand of local and international occupiers seeking inner-city, modern accommodation.”
Paulo Barradas, Managing Director, at Norfin, said: “Prime office rents have experienced strong upward pressure in recent years in the prime business district and across all submarkets. In 2018, the fastest rental growth was reported in Zone 2 of the CBD where prime rents increased by 16%. Five of the assets in the portfolio are located in this area.”
