Sale of Canada Square office building in Budapest in line with strategic capital rotation programme
CA Immo continues its path of selling non-core property assets with the successful signing of a sales contract for Canada Square office building (5,000 sqm) in Budapest. Buyer is the Hungarian Investor Investum Kft. The sale has closed at a premium of 28% to the book value as at 31 December 2020. The vendor was represented by Colliers during the transaction.
Keegan Viscius, Chief Investment Officer of CA Immo: “With this profitable sale we continue our strategic capital rotation program where we seek to profitably divest assets with no strategic fit in our long term portfolio. The overriding goal is to sharpen the focus on large, modern office properties in prime locations in our core cities, thereby sustainably increasing portfolio quality and management efficiency. The proceeds of these sales will be reinvested into value accretive investments in core premium office properties, including continued build out of our prime development pipeline in Germany as well as external property acquisitions.”
Hedwig Höfler, Head of Investment Management AT & CEE: “With the sale of the Canada Square property, we sharpened our focus on larger, modern Class-A office properties in central Budapest. This disposal at a significant premium to book value supports our valuations in a still uncertain market environment. We would like to thank the team at Investum for the efficient and pleasant cooperation.”
"The tremendous interest demonstrated in the acquisition of Canada Square and the combination of potential buyers required extensive co-operation between all parties involved and flawless deal management. We are happy about CA Immo’s financial achievements on this excellent deal and wish all the best to new owner of Canada Square, Investum." - added Bence Vécsey, Director, Head of Capital Markets for Colliers Hungary.
Canada Square is a 5,000 sqm small-scale office building located in the west Budapest „Central Buda“ submarket. Constructed in 2004, the property is well maintained and fully occupied.