SANTIAGO, CHILE, and MIAMI-GLL Real Estate Partners GmbH, the Munich-based real estate funds management group, has acquired Territoria El Bosque, a landmark office building in Santiago. CBRE advised the buyer on the transaction.

The class A office building was sold to GLL by a consortium of Chilean firms consisting of Territoria, IM Trust and Viviendas 2000. The 314,343-square-foot building was brought to market in November 2012 and has a tenant roster, featuring JP Morgan, H&M, BBVA, ITAU and Embassy of South Africa. The building is located along Santiago's principal office corridor at the intersection of Apoquindo and El Bosque.

CBRE Global Capital Markets professional Tim Gifford, along with Marc Royer of CBRE Chile, managed the acquisition that cements the firm's market-leading share of significant cross-border commercial real estate investment transactions in Latin America.

“This acquisition is evidence of the continued importance of Chile as an attractive global destination for institutional real estate investors,” Gifford said. “Over the coming months, we expect to see investment activity remain strong in Chile, which has one of the most liquid and attractive property investment markets in Latin America.”

The acquisition follows the CBRE-advised sale in Chile of a single-owner office portfolio by German investment fund Union Investment Real Estate (UIR) to local property fund Aurus Renta Immobiliaria for $225 million. The portfolio of five properties all located in Santiago, comprising 600,000 square feet (55,725-square-meters) of rentable office, retail and leisure space, with tenants including international banks and government agencies, multinational corporations and major companies in technology, communications, pharmaceuticals and mining.

Global investors are increasingly attracted to Chile's dynamic business culture, solid macro-economic indicators and full integration into international markets. Chile offers both the lowest cost of capital in the region and the lowest risk premiums in Latin America, with office vacancy rates below 1.5%. Low lending rates (typically between 4.3% and 4.5%), increasing market rents and a highly liquid real estate investment market are also key factors attracting global investment.

GLL Real Estate Partners GmbH (GLL) is a Munich based real estate funds management group. GLL was formed in 2000 by three senior executives of HypoVereinsbank, Germany's then largest real estate bank, in a joint venture with Lend Lease Corporation and Italian insurance giant Assicurazioni Generali.
CBRE Group, Inc. headquartered in Los Angeles, is the world's largest commercial real estate services and investment firm (in terms of 2012 revenue).  The Company has approximately 37,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide.