KGAL acquires Villa Office in Warsaw

KGAL Investment Management is expanding its managed real estate portfolio in the Polish capital. Villa Office, an office property, was acquired on behalf of a pan-European real estate special Alternative Investment Fund (AIF) from Polish developer, Echo Investment, for around €87 million.

Thanks to its sustained positive economic and demographic development, Warsaw has one of the most dynamic office markets in Eastern Europe. 

"Villa Office impresses with its urban location and its high standards of architecture, sustainability, and quality of stay. In particular, the different facilities available on the former brewery site make the location highly attractive," André Zücker, Managing Director of KGAL Investment Management explains with responsibility for the real estate asset class.

The multi-tenant property located on ul. Grzybowska was completed in 2020 and has a BREEAM Excellent rating. It is part of a larger district development project on a former brewery site, where 50,000 sqm of office space and 10,000 sqm of restaurant space will be built alongside 1,000 residential units. The Villa Office itself comprises a total of around 16,700 sqm of office and restaurant space spread over 14 floors. The majority is already leased on a long-term basis to high-profile international companies such as Accenture, a financial institution, and WeWork.

Colliers (brokerage and rental appraisal), BNP Paribas (technical appraisal), and DLA Piper (legal and tax advice) acted as advisers on the transaction.

(WBJ)