Property Forum: Futureal sells one more office building to OTP Real Estate Fund
As part of the largest ever transaction on the Hungarian office market, Futureal Group has sold the fifth office complex developed on Corvin Promenade to OTP Real Estate Investment Fund. Through this transaction, OTP PRIME Real Estate Investment Fund has now acquired the Corvin Technology Park office building from the group. Following the sale, the office portfolio of real estate funds managed by OTP Real Estate Investment Fund Management Ltd. will offer nearly 100,000 square meters on Corvin Promenade.
The 27,300 sqm Corvin Technology Park is located on the east side of Corvin Promenade in the immediate vicinity of Nokia Skypark office building. The first phase of the building provides 14,300 square meters of gross leasable area (GLA), while its second phase will have 13,000 square meters of GLA. The second phase of the complex is expected to be handed over in November this year. The first phase of the transaction has been closed. A sale and purchase agreement for Corvin Technology Park’s second phase has also been signed by the parties.
“The acquisition of the state-of-the-art Corvin Technology Park is further proof that Futureal’s outstanding office developments on the Corvin Promenade represent a valuable long-term investment for our partners. This transaction further strengthens our solid partnership with OTP PRIME Real Estate Investment Fund,” said Tibor Tatár, CEO of Futureal.
OTP Real Estate Investment Fund Management Ltd. launched its OTP PRIME Real Estate Investment Fund in 2017. The fund aims to invest in Class A real estate properties. The fund earlier acquired Futureal Group’s 25,000 square meters Skypark office building development, the first unit of the office block that marks the eastern boundary Corvin Promenade. In November 2018 OTP Real Estate Investment Fund purchased the already operating office buildings of Corvin Promenade including Corvin One, Corvin Towers and Corvin Corner.
“Corvin Quarter is undoubtedly a dynamically developing neighbourhood located in the vicinity of downtown Budapest, that’s the reason why we pay special attention to this area. Following the successfully closed transaction last November, we have now entered into another high value agreement. Corvin Technology Park, a premium class office building from now on belongs to OTP Prime Real Estate Investment Fund’s portfolio,” said Dr. Nándor Tóth, CEO of OTP Real Estate Investment Fund Management Ltd.
With Corvin Technology Park the total GLA of the Class A offices will soon exceed 100,000 square meters on the Corvin Promenade.