Curzon Capital Partners 5 LL (“CCP 5 LL”), the core-plus fund advised by Tristan Capital Partners LLP (“Tristan”), has acquired an office portfolio of seven buildings in Lisbon from Vision Escritórios, a regulated, closed-end fund managed by Norfin for €100 million.
The assets, located in the Central Business District (CBD Zone 1 and 2) of Lisbon, comprising a total of 38,421 sqm, include a landmark office building at Rua Castilho, five office buildings in Zone 2 and a mixed-use building in the nearby suburb of Carnaxide.
The portfolio is 95% let and has a well-diversified tenant mix and offers attractive rent reversion. All of the assets benefit from good parking ratios and are located within a short walk from public transport.
Nikolay Velev, Executive Director, Tristan Capital Partners said: “This portfolio acquisition represents our first deal in Portugal and offers our investors immediate exposure to Lisbon’s CBD, which we believe will continue to perform well on the back of a strong supply-demand imbalance. The portfolio locations are very attractive and once our plan to improve the assets has been implemented, they will be well positioned to capture the growing demand of local and international occupiers seeking inner-city, modern accommodation.”
Paulo Barradas, Managing Director, at Norfin, said: “Prime office rents have experienced strong upward pressure in recent years in the prime business district and across all submarkets. In 2018, the fastest rental growth was reported in Zone 2 of the CBD where prime rents increased by 16%. Five of the assets in the portfolio are located in this area.”
CCP 5 LL was advised by JLL, Uria Menendez and CVO Group. Financing was provided by ING Bank NV Sucursal em Portugal, as Agent and Original Lender.