BRUSSELS—AXA Real Estate Investment Manager has agreed, together with ATP, Denmark’s largest pension fund and AXA Belgium, on the acquisition of the shares of the company owning the “North Galaxy” prime office building in Brussels from Cofinimmo SA, reflecting a value for the property of $651 million (€475M).
The transaction has been made by AXA Real Estate on behalf of a newly created joint venture between AXA Belgium and ATP. Under the terms of the transaction, the building will be managed by AXA Real Estate thanks to its strong local asset management team. The JV is a 90:10 split between ATP and AXA Belgium
The 151,000 m² core asset includes 105,000 m² of office space set out across two 28-floor towers and a smaller six-floor tower. This office space is fully let to the Belgian Building Agency as headquarters of the Ministry of Finance with a long-term lease. The building also incorporates over 400 m² of commercial space, providing a food store, a bank branch and over 600 car parking spaces.
The property is located in the North District of Brussels close to the airport and adjacent to one of the three largest train stations in Brussels – ‘Gare de Bruxelles-Nord.’ The North District is characterized by large office buildings which service a number of government institutions.
“This is a key transaction for AXA Real Estate this year and it marks the beginning of new and long-term partnership that we have been able to facilitate for our clients,” said Pierre Vaquier, CEO at AXA Real Estate. “We are pleased to welcome ATP as a new client and that they chose AXA Real Estate because of their confidence in our ability to deliver value thanks to our strong local team.”
Michael Nielsen, CEO at ATP Real Estate added: “This is an attractive investment for ATP Real Estate as it matches ATP’s wish for long and stable cash flows from well-located properties with low risk. We have previously announced, that ATP Real Estate will increase its focus on this type of real estate assets in both Denmark and internationally. The investment shows that we are executing on this plan.”