Atenor has announced the sale of BakerStreet I, a fully leased office and retail development in Budapest's Újbuda district, to an international investor.
The transaction is set to reduce the company's consolidated debt by over €50 million.
The sale is part of Atenor's three-year strategy to shift focus from the office sector in Central Europe to expanding its residential and mixed-use development pipeline.
While the sale is a strategic move, Atenor anticipates a slight negative impact on its 2025 results due to the challenging investment market conditions in Central Europe.
BakerStreet I features 16,666 sqm of office space and 2,013 sqm of retail, fully leased to E.ON Hungária. The building boasts an energy-efficient design, surpassing NZEB standards, and incorporates renewable energy sources such as rainwater reuse, solar panels, and green roofs.
Alexander Hodac, COO of Atenor, adds: "The sale of BakerStreet I supports our strategic move to rebalance our portfolio, reducing our exposure to offices in Central Europe. With BakerStreet II set to transition towards residential use, we are preparing the next phase of our growth. It also reaffirms our commitment to responsible, future-proof urban development."
Stéphan Sonneville, CEO of Atenor, said: “With this transaction, Atenor confirms its strategic choice to reduce net debt while investment markets remain challenging.”
In addition to the sale, Atenor is progressing with the development of BakerStreet II, adjacent to BakerStreet I, with plans to transform it into a residential project with retail and office components.
According to Norbert Schömer, Country Director of Atenor Hungary, BakerStreet I represents "one of the first next-generation post-COVID office buildings in Budapest, focusing on flexible workspaces, personal well-being, and fostering collaboration."
