Catella acquires office building in Luxembourg for German pension fund

Catella acquires office building in Luxembourg for German pension fund

Munich-based Catella Real Estate AG has acquired the 4,955 m² W4 office building at Rue Léon Laval 17 in Leudelange, Luxembourg for the individual mandate of the special fund, AVW European Real Estate Fund. 

The seller of the property, which is fully let on a long-term basis, is the ParFi Group, founded in 1969, an internationally active Luxembourg service company.

The acquired office building is located on the 3,275 m² plot of land at Rue Léon Laval 17 in the Leudelange Business Park “Am Bann”, which has been steadily expanded over the past 5 years and has attracted large insurers such as Foyer, La Luxembourgeoise, DKV Luxembourg, banks (Raiffeisen), IT companies such as SIX Payments, Lineheart, 3C Payment and car rental companies and dealers (Car Avenue, Leaseplan, Mercedes) attracted due to the central location, the mixed environment and the range of services.

The Léon Laval property, built in 2020, has a gross floor area of ​​4,955 m², of which 4,519 m² is office space, 235 m² is catering space and 201 m² is archive space. The property also includes a parking garage with 42 parking spaces and 37 outdoor parking spaces that have charging stations for electric vehicles. 

The W4 office building is certified as “BREEAM Very Good” under the British sustainability certificate BREEAM (Building Research Establishment Environmental Assessment Building Research Establishment Environmental Assessment Method), the oldest and most widespread certification system for sustainable building, and thus meets all certification requirements with regard to ecology, the Energy and water consumption, the materials used, the internal environment (health and well-being), transport and waste management,s.

“The acquisition of the Léon Laval office building represents the AVW European Real Estate Fund’s first office investment in Luxembourg,” says Fabian Pick, Portfolio Manager of the “AVW European Real Estate Fund”. “It also provides further geographic diversification to the Fund’s portfolio in Luxembourg, following our previous investments under the mandate in Augsburg, Essen, Cologne, Barcelona and Brussels. The fund has invested EUR 160 million since inception and aims to continue to grow its real estate portfolio across Europe.”

“The W4 property was acquired in the form of a sale and lease transaction. The seller will continue to rent large parts of the space and thus ensure a long-term (14 years) cash flow. The location and the good mix of tenants convinced us from the start. Luxembourg remains an attractive office market for Catella due to its strategic and financial relevance within Europe,” says Jaime Sarrà, Senior Investment Manager at CREAG.