ČMN acquires office and retail portfolio

The transaction includes 5 office buildings with a total leasable area exceeding 37,000 sqm. The NEMO fund bought four Prague office buildings Smíchov Gate, Anděl 17, Idea Office building and Victoria Vyšehrad directly from the seller. The fifth building, the Panorama Business Center near the National Museum, was included in its portfolio by ČMN. Office real estate is located near key traffic arteries and business centres. The buildings have a high occupancy rate and long-term leases with international and local companies such as Google, Hochtief, Cemex or Mercedes Benz.

In addition to the office buildings segment, the ČMN Group's portfolio has also grown to include commercial properties of 11 retail parks with an area of 72,000 sqm with a diversified tenant base, such as Ahold, Penny Market, OBI or Tesco. Thanks to the acquisition, the ČMN group will expand its business area into the retail segment.

The strategic acquisition of real estate, financed by the German bank Helaba Landesbank Hessen-Thüringen, from the real estate fund NOVA Real Estate managed by the investment company REDSIDE, represents an important milestone for ČMN.

"We are delighted to announce our largest acquisition in history and at the same time one of the largest transactions on the Czech market this year. In recent years, there has been low transaction activity in the market. Although there was a desire on the part of ČMN to expand the portfolio, we did not find an acquisition that would be worth it. We are all the more glad that it paid off for us to wait for this transaction," said Radek Stacha, Chairman of the Board of Directors at ČMN.

“We thank REDSIDE for the trust in us to manage the tender and sales process on his behalf. Based on the results of a highly competitive tender, we advised our client to proceed with the preferred offer from CMN," comments Stuart Jordan, CEO of Savills.

The acquisition was subject to the approval of the Office for the Protection of Economic Competition.