Catella Real Estate AG (CREAG), from January 1, 2025, forming Catella’s new format of fund investment platform together with Catella Investment Management GmbH (CIM), sold the c. 8,961m2 office property ‘Rue de Bruyeres 60’ in Howald, Luxembourg, on the south-eastern edge of Luxembourg City, for the fund ‘Sarasin Sustainable Properties - European Cities’. CIM is the advisor of the Sarasin Sustainable Properties - European Cities Fund with Catella Real Estate AG providing the German KVG platform.
Developed in 2021 by Lafayette, the SHOW office building comprises approx. 8,961m2 of lettable space spread over 6 floors, including 2 underground parking levels with a total of 104 parking spaces. Thanks to its contemporary L-shaped design, the property blends in with the modern architecture of the neighbourhood. Outside, the building is surrounded by elaborately designed outdoor facilities and a green inner courtyard. The building features numerous ecological measures, such as energy-efficient triple-glazed windows, LED lighting, integrated sun blinds, a rainwater utilization system and 10 charging stations for electric cars. Thanks to the high ESG-standards in the project development, the building was certified BREEAM ‘very good’ upon completion.
The ‘Rue de Bruyeres 60’ property is centrally located in the municipality of Howald, which merges seamlessly with Luxembourg City and is currently developing rapidly from a traditional industrial and retail location into a flourishing mixed-use neighbourhood. The immediate proximity to the A3 motorway and the new railway station provide access to Luxembourg City's tram and tram-train system.
CREAG was supported by Catella IM Benelux B.V.(CIMB) on transactional advisory. Stibbe, Drees & Sommer and Deloitte advised on legal, technical and tax matters on this transaction.
Jaime Sarra, Senior Investment Manager at CIM, mentions: “After a holding period of four years, the SSP Fund managed to obtain stable cash flow for this property since acquisition. The Fund was able to profit from positive capital gains, which in turbulent times for the office market is highly appreciated by investors.”
Ralph Willems, Senior Acquisition Manager at CIMB, adds: “Luxembourg has proven once again to be a strong office market within Europe attracting solid occupier’s demand for financial and public entities. We will keep monitoring Benelux markets for new acquisitions, especially within the logistic and residential sectors, being both highly sought-after asset classes by investors nowadays.”
Image source - Catella IM.
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