The ERSTE Realitná Renta real estate fund managed by Asset Management Slovenskej sporiteľne has purchased the offices of the Zuckermandel project from the J&T Real Estate Holding Limited group. The fund was established in 2019 and this is the first office acquisition in its portfolio.
“We are excited that the first office building investment of the ERSTE Realitná Renta fund is such a high-quality and unique project as Zuckermandel. People who invested in our fund over the last one and half year thus become co-owners of one of the best office projects in Slovakia,” said Günther Mandl, Chairman of the Board of Directors of Asset Management Slovenskej sporiteľne.
Zuckermandel is a premium project located in a prosperous district at the banks of the Danube under the Bratislava castle. It was completed in 2017. The building meets the standards of sustainable construction, so it received a BREEAM certificate with a rating of Excellent, which assesses the quality and performance of buildings in terms of sustainability. The subject matter of the transaction consists of office and commercial premises with a rentable area of 16,800 sqm. The project has been fully occupied by long-term tenants, including many well-known businesses like 365.bank, EY, Baumit, KIWI.COM, Novartis, Relevans, Havel & Partners, Maple & Fish and others.
“The combination of premium quality with exclusive location, which will become even more attractive after the completion of Vydrica, creates conditions for long-term profitability and growth of the value of our client’s investments. It is important that Zuckermandel is just the beginning as we have already performed steps to acquire other interesting investment properties. The ERSTE Realitná Renta fund has thus completed its initial stage characterized by passive investments, becoming an active owner and real estate manager,” added Mandl.
“Since 2017, the Zuckermandel district has become an attractive location both for living and doing business. The project with generous public areas referring to the history and mood of a city boulevard combines living with work, commerce, services and catering. Thanks to it, life has returned to this part of the area under the Bratislava castle, creating an interconnection between Old city and the Danube marine. Zuckermandel confirms that full-fledged districts capable of fulfilling all the functions are the right response to the requirements of urban development and high-quality living. In the end, however, the success of each project depends on people who use it round the clock, whether by living, working or spending their free time here,” said Pavel Pelikán, the General Manager of JTRE.
“We are glad that we have succeeded in bringing a new institutional investor to the Slovak real estate market. This transaction confirms the persisting interest of investors in high-quality office buildings in premium locations, fully occupied and with long-term contracts. Although the transaction commenced in late summer of the last year, the achieved prime yield is a new market record for an office building in Slovakia,” commented Ľubor Procházka, Sales Director of CBRE Slovensko, real estate advisor and representative of the seller in the transaction.
