Cromwell European REIT acquires 3 EU properties
The REIT purchased freehold properties in Italy and Germany.
Cromwell European Real Estate Investment Trust (CEREIT) acquired three properties in Italy and Germany for $101.52m (€68.3m), which is 12.7% below the aggregate independent valuations.
According to CEREIT’s manager, the real estate investment trust firm entered into three separate sale and purchase agreements and completed the acquisition of three properties, which are all freehold and span 126,752 square metres in total gross lettable area.
The two Italian properties are located in northern Italy, namely, the ABB Industrial Site in Milan, and Bialetti Headquarters in Brescia whilst the German property, namely Saalepark, Jena is located in Jena.
Reacting to this, CEREIT Management Pte. Ltd. CEO Simon Garing said the new economy properties are located in highly liquid estate markets of northern Italy.
“Our experienced, on-the-ground team sourced and secured the investments at a favourable average 6.8% NOI yield 12.7% below independent valuation, with a [blended] weighted average lease expiry of 5.4 years. The properties are fully-leased to global companies including ABB, Bialetti and Abbott Diagnostics,” said Garing.
These acquisitions are part of the $148m (€100m) advanced pipeline it announced in its CEREIT’s fiscal year 2021 results and further build CEREIT’s light industrial and logistics scale in core Western European nations.
$1 = €0.68