News Article Globalworth investment office Poland Unibail-Rodamco-Westfield Warsaw
by Property Forum | Investment

Globalworth Poland has entered into a preliminary sale and purchase agreement with Unibail-Rodamco-Westfield for the landmark acquisition of two high-quality office buildings in Warsaw, known as Skylight and Lumen.

Skylight and Lumen are located above the Złote Tarasy shopping centre in the heart of the Warsaw Central Business District, benefiting from excellent connectivity to the city's main train station, other means of public transport and the amenities of an established and well-recognised mixed-use complex. The buildings were completed in 2007 and offer a gross leasable area of 45,500 sqm over 18 and 8 storeys, respectively. With a current occupancy of approximately 89%, the properties have a contracted rental income of c. €11.5 million and a weighted average lease length of nearly four years. The properties are multi-tenanted, with a range of tenants including Pernod Ricard, Mars, PGE Energia Ciepła, InOffice, Regus and Cushman & Wakefield.
Dimitris Raptis, Deputy CEO and Chief Investment Officer of Globalworth, commented: "We are excited by this major acquisition of landmark assets in the centre of Warsaw, representing our largest asset acquisition to date. Our strategy is to own assets within which we can create a strong sense of community, suited to the needs of a dynamic workforce. Skylight and Lumen offer centrally-located modern office space with excellent local amenities and transport connectivity. Their addition will further enhance our leadership in the Polish office market and aspirations in the CEE region and reiterate our focus on acquiring assets with ongoing asset management opportunities and attractive total return potential."
The total transaction consideration is set at €190 million and is subject to working capital and other customary adjustments. This acquisition will represent a substantial transaction pursuant to the AIM Rules, and is anticipated to be funded from GPRE's existing cash resources, following the extension and increase of the existing second loan agreement, as announced on 17 April 2018, between the Company and GPRE, which also represents a substantial transaction pursuant to the AIM Rules.
The preliminary sale and purchase agreement is subject to various customary conditions, including competition clearance for the transaction, which must be satisfied. The final sale and purchase agreement is expected to be executed no later than 31 December 2018.
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