M7 Real Estate has, on behalf of M7 Polish Active Fund, purchased from Azora Europa two Warsaw office buildings, Cristal Park and Mokotów Plaza. Savills advised the buyer on the transaction.
Cristal Park is an A-class three storey office building located at Jerozolimskie Avenue in Warsaw. It offers over 10,000 sq m of office space. The building developed by Yareal and designed by JEMS Architects was delivered to the market in 2009. Soon after its completion the property was acquired by Azora Europa in 2010. Currently Cristal Park is fully let with Gaz-System and Barentz as tenants.
Mokotów Plaza is located at Postępu Street in Warsaw. It offers approx. 15,400 sq m of modern office space. The property was developed 10 years ago by Celtic Property Developments and sold to Azora Europa in early 2011. Currently the main tenants of Mokotów Plaza are Securitas, KCR and BTI Studios.
Katarzyna Parkot, Managing Director of M7 Real Estate in Poland, commented: "We are delighted to grow our AUM in Poland with the acquisition of these properties into M7 POLAF. We have identified a number of opportunities to add value which we look forward to implementing in order to maximise performance for the fund”.
Anna Szelc representing Azora in Poland added “Sale of our assets was in line with our divestment strategy and it shows that Warsaw non-central locations continue to be on the radar of investors”.
Tomasz Buras, CEO and Head of Investment at Savills Poland said: “What we are especially proud of is that Savills’ teams have a long history with both parties. Both Azora and M7 Real Estate are dear clients to us and I am very happy we linked these two parties, which led to this successful transaction. For M7 Real Estate this acquisition offers a blend of a fully leased Cristal Park in a core-plus strategy, with a more opportunistic purchase of Mokotów Plaza realising a value-add approach. The latter also proves the continuing investment attractiveness of Służewiec district, still one of the most popular and largest office districts in Poland, which is beginning to feel the effects of decreasing vacancy rates in Warsaw”.
Savills in Poland acts as a property manager of M7 Real Estate’s portfolio that currently exceeded 130,000 sq m. For Azora Europa, the adviser has been managing Mokotów Plaza for the last 10 years and providing building and project consultancy services for the last five years. Last year Savills also advised Catalyst Capital on buying another office building from Azora Europa, Harmony Office Center.