PATRIZIA acquires Hague office portfolio with redevelopment potential
Acquisition grows PATRIZIA’s Dutch development platform
- Portfolio comprises nine vacant buildings with a GLA of ~8,500 sq m
- Value generation potential thanks to redevelopment and comprehensive asset management strategy
- Demonstrates investor appetite for value-add investments in the Dutch market
Augsburg / Amsterdam, 13 November. PATRIZIA AG, the global partner for pan-European real estate investment, announces that it has acquired nine freehold office buildings in the centre of The Hague, on behalf of a client, from Onderlinge Levensverzekering-Maatschappij ‘s Gravenhage U.A.
The portfolio, which is completely vacant, offers a total gross lettable area of ~8,500 sq m and in addition a private garden, 79 parking spaces and bicycle storage. Eight of the buildings are listed, having been constructed in the 1860s, whilst the ninth asset was completed in 2003.
PATRIZIA has identified an opportunity to implement a comprehensive redevelopment programme, which will preserve the cultural heritage of the buildings and create modern, high quality office space with new amenities and plenty of character.
PATRIZIA will then seek to lease up the space, capitalising on the strong demand from a variety of occupier types, including government institutions, services, technology and media businesses, for Grade A office stock in The Hague where current office vacancy is only 7.3% (source: CBRE).
Located in the historic centre of The Hague, the Netherland’s political capital and the second largest office market after Amsterdam, the assets are in in close proximity to the Dutch Parliament, Peace Palace and a number of embassies. They also offer easy access to nearby amenities including cafes, restaurants and shops.
Emile Poort, Head of Transactions PATRIZIA Benelux, commented: “This acquisition demonstrates the strong appetite that exists amongst our investors for value-add investment opportunities in the Netherlands. Strongly aligned to our strategy of identifying properties with upside potential in established and developing locations where occupier demand is strong, this portfolio presents a compelling opportunity and also grows our Dutch development platform.
“Working with historical assets brings a unique set of challenges and opportunities, which we understand well at PATRIZIA. Our aim is to breathe new life into these buildings by sensitively redesigning the structures and layout, whilst retaining their character, to meet the requirements of today’s occupier.”
PATRIZIA was advised by Van Doorne, bbc adviseurs, COG Makelaars and Frisia Makelaars. Osborne Clarke and CBRE acted for the vendor.
PATRIZIA AG has been active as an investment manager in the real estate market across Europe for more than 35 years. PATRIZIA’s activities include the acquisition, management, repositioning and sale of residential and commercial real estate through its own licensed investment platforms. As a global partner for pan-European real estate investment, PATRIZIA operates as a respected business partner of large institutional investors and retail investors in all major European countries. PATRIZIA manages more than EUR 41 billion of real estate assets, primarily as an investment manager for insurance companies, pension fund institutions, sovereign funds, savings and cooperative banks and as co-investor. For further information, please visit: www.patrizia.ag.
Head of Corporate Communications
Phone: +49 (0) 821 5 09 10-6 55