Allianz Real Estate, acting on behalf of several Allianz group insurance companies, has expanded its footprint in Hungary with the 100% acquisition of Eiffel Square, a prime office building located in Budapest, in an off-market transaction.
The 10-year-old complex is one of Budapest’s largest office buildings in the city’s central business district (CBD), offering a privileged location. The property is right at the border between the CBD and the Vaci Corridor, the city’s largest office subsector. It has seven above ground floors including 23,500 sqm in lettable space and is fully occupied by a diverse set of high quality tenants including Medicover, Dealogic and BNP Paribas. Overlooking the Western Railway Station – designed by Gustave Eiffel – tenants enjoy immediate access to metro, tram and bus lines. Eiffel Square offers 5,000 sqm of retail, restaurant and services units located on the lower levels and over 350 underground parking spaces.
The acquisition strengthens Allianz Real Estate’s growing portfolio of prime assets in the CEE region, having already acquired Bank Centre, a premium landmark office building, the Allee Shopping Centre, one of the top five shopping malls in Hungary, and Trimaran, a 18,233 sqm office building in Prague acquired in early 2019.
“We are pleased to have successfully completed this transaction despite the current environment. Eiffel Square is a very high quality asset providing long-term, stable cash flows underpinned by strong tenants. This new deal fits well within Allianz Real Estate’s investment strategy as we expand our presence in Budapest,” said Thomas Villadsen, Head of Austria & CEE, Allianz Real Estate.
Annette Kröger, CEO North & Central Europe at Allianz Real Estate, said: “I am delighted that we can announce another equity deal in Budapest as we continue to build our CEE presence and further diversify our allocation in the CEE region. We remain focused on acquiring high quality assets in key European metropolitan areas; Eiffel Square fully matches this strategy.”