Intervest Offices acquires the office building "Mechelen Campus Tower"

Intervest Offices has obtained control of Mechelen Campus 3 sa, owner of the office building "Mechelen Campus Tower" and the adjacent office building, with an occupancy rate of 80 %, for an amount of Eur 26,8 million, at a gross yield of about 7,7 %.

 

Intervest Offices has purchased the majority of the shares of the real estate company Mechelen Campus 3, owner of two office buildings in Mechelen in the 'Mechelen Campus' business park.

 

The acquired office buildings have a lettable surface area of 15.400 m², of which 12.800 m² are for the account of Mechelen Campus Tower and 2.600 m² for the adjacent office building. These office buildings form the final phase of the acquisition of the entire site of Mechelen Campus, of which the other office buildings are already owned by Intervest Offices.

 

The office buildings are let for about 80% at a rental income which is conforming the market. Mechelen Campus Tower is partly let to Borealis Polymers, a prominent international producer of synthetic materials. The adjacent office building is entirely let to the pharmaceutical company Tibotec-Virco (a subsidiary of Johnson & Johnson).

 

These two office buildings offer an initial rental income of Eur 2,1 million on an annual basis. As from 1st of July, these office buildings contribute to the operating result of Intervest Offices. For the vacant spaces a rental guarantee is granted by the seller, Uplace Group sa, for a duration of 2 years, from 1st July 2007 on.

 

The investment value of the property amounts to Eur 26,8 million (fair value Eur 26,1 million). The acquisition results form the framework convention concluded in the past between VastNed Offices Belgium and Uplace Group.

 

Jean-Paul Sols, CEO Intervest Offices: "This acquisition gives us a very attractive direct gross initial yield of about 7,7 %. The investment contributes immediately to the distributable operating result. The buildings of the Mechelen Campus business park are now all under control of Intervest Offices, which generates a commercial and strategic added value for the property investment fund."

 

Antwerp, 2 August 2007

 

 

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