PRAGUE-Doughty Hanson & Co. Real Estate of London has sold the Office Park Nové Butovice here for €89.5 million (US$ 116 million). The London-based fund manager says it sold the three-building campus to Czech and Slovak Property Fund BV in a share transaction.

Doughty Hanson acquired the site in January 2001 in co-operation with private investors and proceeded to develop 290,000 sf of office space. Tenants include Accenture, Allianz, BMW and Siemens. In addition, full permitting has been granted for an additional 76,000 sf of office space.

Next door, Doughty Hanson and two private investors continue to own a plot of land for which they are renewing planning permission to develop Metronom, which will include an additional 323,000 sf of office space and 215,000 sf of residential.

Doughty Hansen says the total return to investors for the sale of Office Park Nové Butovice will be 5.4 times their equity investment. The sale returned US$47.5 million to investors and a refinance in 2005 returned US$1.7 million.

The official seller of the office park is Doughty Hanson & Co.’s European Real Estate I. Doughty Hanson & Co.’s European Real Estate II closed recently with commitments of €590 million (US$ 772 million). Fund II targets investment opportunities in Italy, France, Spain, the Germanic Region, the Nordic Region and the UK.

Fund II has made five investments to date, committing about 22% of the fund’s equity. The investments include a portfolio of 19 commercial buildings at Kings Hill Business Park, Kent in a joint venture with Liberty Property Trust; two residential development joint ventures in Italy–in Rome and in Brescia; a portfolio of six office buildings in the Kista submarket of Stockholm; and Howick Place, London SW1 in a joint venture with Terrace Hill Group plc.

When all distributions have been made on realized deals to date in the first fund, investors will have received cumulative distributions from 17 of 21 deals 275% of total invested capital for a gross IRR of 38%.

Combined, the two funds have completed 26 investments in eight countries, representing, in aggregate, 14 million sf of space valued at €4 billion (US$5.2 billion).

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.