IREIT Global (IREIT), a Europe-focused real estate investment trust managed by IREIT Global Group Pte. Ltd. and the first Singapore-listed real estate investment trust (REIT), has partnered with Tikehau Capital and City Developments Limited (CDL), the two shareholders of the Manager and key unitholders of IREIT, to acquire a portfolio of four freehold office buildings located in Spain, according to an announcement by the company.
IREIT and Tikehau Capital will enter into a joint venture, which would be 40% held by IREIT and 60.0% held by Tikehau Capital for the purpose of acquiring 100% of the interests in the property holding companies of the Spanish portfolio. Through the joint venture, IREIT will be actively involved in all key operational and financial matters.
“The strong support from our key unitholders Tikehau Capital and CDL is a clear testament on their commitment and support to the long-term growth strategy of IREIT. The proposed acquisition will provide IREIT exposure to Spain, an improving economy with sound fundamentals and investment climate,” said Aymeric Thibord, Chief Executive Officer of the Manager.
The portfolio of four freehold office buildings are located in the established secondary office areas of Madrid and Barcelona and have easily divisible floor plates, excellent natural lighting and great connectivity to major commercial areas via different modes of transportation systems.
The Spanish properties are currently multi-tenanted and are anchored by a number of large reputable companies from diverse industries such as Clece (provider of logistics, facility management and cleaning services), Digitex (integrated management solutions provider), Gesif (unit of Cabot Credit Management Group), Catalan Media Corporation (public radio and television company in Catalonia), Coca-Cola European Partners (bottling company for Coca-Cola products), DXC Technology (spin-off from Hewlett-Packard) and Roche (Swiss healthcare company).