Valad, the European multi-let real estate investment manager, has sold Tevlingveien 23, a 24,277 m² office and retail building in Oslo to Wenaas Eiendom AS, a wholly owned subsidiary of Wenaasgruppen.
Tevlingveien 23 was sold following the completion of Valad's business plan for the asset, which succeeded in reducing vacancy levels from 16% to 4% and strengthening the mix of tenants at the building to include a new anchor retail tenant, JYSK AS.
Over a four-year period, Valad also improved the weighted average lease expiry to around three years which is in line with the local market levels for this type of multi-use asset.
Constructed in 1999 and comprising ground and first floor retail use and ten floors of offices, Tevlingveien 23 is let to more than 20 tenants including JYSK, Bohus, Gothia and Firesafe. The new owner is currently developing a hotel on the site adjacent to the asset.
Michael Bruhn, Valad's Head of Nordic, commented: "We succeeded in implementing a range of value adding asset management initiatives at Tevlingveien 23, including significantly improving the void rate and strengthening the tenant profile with the letting to JYSK, the multinational homeware retailer.
"Having now completed the business plan and found a suitable purchaser with a vested interest in the location, it was an appropriate time to trade the asset in the best interests of our investors."
The asset was held in Valad's DUKE joint venture. Valad manages approximately 1.2 billion of assets in the Nordic region, spread across five of its 15 European mandates, comprising 200 properties and almost 2,000 tenants in 1.5 million m² of space.
Source: Tavistock Communications