17th Sep 2014 09:21
LONDON (Alliance News) - Brack Capital Real Estate Investments NV said Wednesday that its subsidiary, Brack Capital Properties NV, has exchanged contracts to purchase a portfolio of 267 residential units in North Rhine Westphalia and in Hanover, Germany, in a deal worth approximately EUR13 million.
Brack Capital Real Estate Investments is a real estate development and investment group, headquartered in the Netherlands; it listed on the London Stock Exchange in May this year. Brack Capital Properties trades on the Tel Aviv Stock Exchange.
The purchase price is approximately EUR13 million and the annual passing rent of the units is EUR1.1 million. Brack said the subsidiary is negotiating with a German financing institution to obtain a non-recourse loan of above 60% of the purchase price to finance the acquisition.
The total leasable area of the portfolio is 18,300 square meters, the units are let to various tenants and the occupancy rate of the portfolio is currently at 95%, said Brack.
The company said that the subsidiary will complete the acquisition of the portfolio after December 31, 2104, and that the deal remains subject to obtaining all the necessary statutory approvals for the transaction and the removal of all the pledges/ mortgages from the portfolio.
Shares in Brack Capital Real Estate Investments were untraded Wednesday, quoted at EUR1.8 per share.
By Alice Attwood; [email protected]; @AliceAtAlliance
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