M&G Real Estate, one of the world’s leading financial solutions providers for real estate investors, has increased its Nordics office portfolio. M&G real estate has paid EUR116 million for office asset. The office located on Helsinki will bring huge profits to the company.

The investment has been made on behalf of the M&G European Property Fund, managed by David Jackson and Simon Ellis. Helsinki was selected one of the top cities in Europe for both physical and digital infrastructure ın M&G Real Estate’s Urban Connectivity Ranking. The office purchased is known as Alvar Aallon katu 3.

Fully let to four tenants, Alvar Aallon katu 3 is an 11,845 sq m office building in the Töölönlahti submarket next to Helsinki Central Station in the city’s central business district. It was built in 2012 to a high-quality specification and includes 43 underground parking spaces.

Thorsten Slytå, Director of Nordic Region at M&G Real Estate, says: “The Finnish economy continues to perform strongly, with rising consumer confidence, falling unemployment, and GDP growth comfortably above the Eurozone average. That is why Helsinki is one of the most active destinations in Europe for foreign investment, and why we are so pleased to have secured this excellent opportunity on behalf of our investors.”

Simon Ellis, Fund Manager at M&G Real Estate, adds: “The Helsinki office market has become increasingly attractive to investors, with Finnish GDP improving, good quality technological infrastructure and a lack of supply underpinning improving rents. Our acquisition of Alvar Aallon katu 3 is timely, taking advantage of an attractive entry capital value and rents which are significantly below market. With our asset management expertise, we are intent on maximising the profitability of the building for the long term.”

Helsinki’s population is expected to increase by 10 percent by 2030. However, the city has facilities such as fast internet and easy transportation. Due to these properties, the city is preferred by investors.

Source: propertyfundsworld

Sevdenur Demir / realestatecoulisse.com

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