JOHANNESBURG - Sirius Real Estate has completed the acquisition of a business park in Schenefeld, a town on the edge of Hamburg in Germany, for e15.1million (R221.5m), including acquisition costs.
The company, which owns and operates a portfolio of branded business parks in Germany and has a secondary listing on the JSE’s main board, said yesterday that the Schenefeld business park had about 42000m² of multi-purpose office and warehouse/logistics space and was acquired at a European Public Real Estate Association net initial yield of 7.8percent.
Andrew Coombs, the chief executive of Sirius, said that, with an annualised rental income of e1.5m and 71percent occupancy, the property provided a good combination of both initial income and value-add opportunity.
He said the acquisition, together with the e8.4m Hamburg-Hummelsbüttel acquisition in December, continued the successful recycling of capital into key German commercial markets.
“The two acquisitions in quick succession create a number of operational synergies for us,” he said. Shares in Sirius Real Estate fell 1.3percent to close at R9.13 on the JSE yesterday.