Madison International Realty and Ghelamco announce that the Madison International Real Estate Liquidity Fund VI LP has taken a 50 percent stake in the iconic Warsaw Spire office tower, becoming an equal owner alongside the Ghelamco GP12 fund. The value of the tower is about €350 million. Warsaw Spire is the tallest office building in Central Europe and the acquisition is one of the country’s largest office real estate transactions in recent times.
Warsaw Spire has been Ghelamco’s flagship development in Poland. It has been awarded with the Best Office & Business Development title at the prestigious MIPIM Awards 2017. At 220m high and with 49 floors, the prime modern office building comprises 64,500 sqm of office space. It is over 95 percent let to a strong line up of international tenants including Samsung, JLL, Mastercard, Shire, The Heart, Daftcode, Panattoni and Ghelamco.
The high-profile building is located in the new business district of Warsaw at Rondo Daszyńskiego. It is the most dynamic and growing part of the city, with strong private and public transport connections, including Warsaw’s new second Metro line as well as multiple tram and bus routes. An integral part of the project is Plac Europejski, located at the foot of the building, providing extensive public space with fountains, greenery and urban furniture.
Madison International Realty is a major investor in real estate across the US and in Europe. The investment is in line with its strategy for Fund VI which raised $1.24 billion in 2016.
Jeroen van der Toolen, Managing Director CEE, Ghelamco, commented: “Warsaw Spire is a building which has become the icon of the dynamically growing Polish real estate market. It brought new standard and quality, at the same time being an example of a spectacular commercial success. We are happy that our partner and new co-owner of the building is now Madison International Realty, an American company building its portfolio with the best real estate developments in the world.”
Derek Jacobson, Co-Chief Investment Officer at Madison International Realty, commented: “Warsaw Spire set a new standard for the Polish market so we are very pleased to be partnering with Ghelamco through this landmark deal. The Polish market is set for outperformance and we see this one-of-a-kind asset as well placed to take advantage of that trend. At Madison International Realty, we pride ourselves in forging strong relationships with best in class partner firms, accessing local markets and then bringing our own real estate discipline and expertise to the table. This is another strong example of such an approach.”
In the transaction Madison International Realty was represented by Greenberg Traurig. Ghelamco was represented by Dentons, JLL and CBRE.
