Dentons’ Real Estate team has acted as legal counsel to Crestyl on the acquisition of a company owning several buildings on Wenceslas Square, a prime location in Prague, for further development of a mixed-use (office and retail) property scheme. The project, also referred to as Savarin Palace, was sold by Ballymore Properties.
Savarin Palace comprises six separate buildings around the Square, including the baroque palace building, which are to be linked together into a four-story upmarket mall centred around old riding stables.
Dentons’ cross-border real estate team represented Crestyl throughout the entire process, from the tender procedure, through forming a joint venture in investment and shareholding structuring and agreements, arranging for the financing and ultimately, the acquisition.
Jiří Stržínek, co-head of Dentons’ Prague Real Estate group led and supervised the team which included Corporate Partner Edward Keller, Real Estate Counsel Markéta Tvrdá, Daniel Hurych and Gary Maguire, Associates Martin Manduľák and Jan Hrivnák as well as Corporate Senior Associate Faye Garvey based in Milton Keynes.
“We are very pleased that Crestyl acquired such a prime asset in Prague, especially considering that the transaction proved to be a complex one and took over six months to complete. We now look forward to assisting the client in the development phase and with other tasks on this highly attractive project” said Jiří Stržínek.
Evan Lazar, Co-Chairman of the Dentons Global Real Estate Group, added: “The commercial real estate investment market in the Czech Republic is currently on the rise, with transaction volume in Q1 outperforming all other Central and Eastern European countries this year, according to JLL’s initial research. We were happy to help Crestyl again expanding its business.”
Income-producing properties are becoming an increasingly appreciated option for Romanian or foreign private investors who have previously been mainly active in the residential sector and who are now targeting...