Madison International Real Estate Liquidity Fund VI LP has taken a 50% stake in the Warsaw Spire office tower, becoming an equal owner alongside the Ghelamco GP12 fund. The value of the tower is approx. €350 million. Warsaw Spire is the tallest office building in Central Europe and the acquisition is one of the country’s largest office real estate transactions in recent times.
At 220 metres high and with 49 floors, Warsaw Spire comprises 64 500 sqm of office space. It is over 95% let to a strong line up of international tenants including Samsung, JLL, Mastercard, Shire, The Heart, Daftcode, Panattoni and Ghelamco.
Madison International Realty is a major investor in real estate across the US and in Europe. The investment is in line with its strategy for Fund VI which raised $1.24 billion in 2016.
Derek Jacobson, Co-Chief Investment Officer at Madison International Realty, commented: “Warsaw Spire set a new standard for the Polish market so we are very pleased to be partnering with Ghelamco through this landmark deal. The Polish market is set for outperformance and we see this one-of-a-kind asset as well placed to take advantage of that trend. At Madison International Realty, we pride ourselves in forging strong relationships with best in class partner firms, accessing local markets and then bringing our own real estate discipline and expertise to the table. This is another strong example of such an approach.”
Madison International Realty is a leading liquidity provider to real estate investors worldwide. With approximately $3.6 billion AUM, Madison provides joint venture and preferred equity capital for real estate owners and investors that are looking to de-lever their properties; seek an exit strategy; or where existing sponsors seek to sell a portion of their ownership position. The firm provides equity for recapitalizations, partner buyouts and capital infusions; and acquires joint venture, limited partner and co-investment interests as principals. Madison invests only in secondary transactions and focuses solely on existing properties and portfolios in the U.S., U.K., and Western Europe. Madison has offices in New York, London and Frankfurt, Germany, where the firm operates under the name of Madison International Realty GmbH.
In the transaction Madison International Realty was represented by Greenberg Traurig. Ghelamco was represented by Dentons, JLL and CBRE.