Echo Polska Properties N.V. (EPP) has acquired from Echo Investment S.A. another building of the O3 Business Campus office complex in Krakow under the right of first offer (ROFO) contract. The office building, constituting the second stage of the O3 Business Campus office was valued at EUR 49.2 million.
The second of three buildings of the office complex at ul. Opolska in Krakow, in accordance with the ROFO (Right of First Offer) Agreement made in 2016, is now the property of the subsidiary of Echo Polska Properties N.V. – Ventry Investments. EPP paid Echo Investment (or more precisely its subsidiary, i.e. Echo-Opolska Business Park) part of the sale price of EUR 43.5 million, which will be then supplemented with an additional EUR 7.3 million upon completion of the fit-out works in the building.
The O3 Business Campus investment comprises three office buildings located at ul. Opolska in Krakow. The complex attracts many shared services sector companies, with each office building offering 19 thousand sqm. lease space. The first of these was bought by EPP in December 2016, with the construction of O3 Business Campus II being subsequently completed in the third quarter of 2017. It is part of the office complex offering A class quality. Most of the space is leased by HCL Poland and HedgeServ. The third building of the complex is still under construction, with completion scheduled for the first quarter of 2018.
Echo Polska Properties N.V., as a company operating as a REIT, invests in the commercial, office and warehouse real estate sectors throughout Poland. The company is listed on the Luxembourg and Johannesburg stock exchanges, and has set itself the goal of establishing a forefront commercial entity in Poland generating significant profit for shareholders. As a consequence, Echo Polska is consistently acquiring new facilities to attract the shared services sector. Echo Investment S.A. in turn, as the largest Polish developer, regularly sells finished buildings in short intervals, in accordance with its strategy of profitable growth.
“We have now undertaken a number of transactions for Echo Polska Properties in what we believe to be a strong and trusted relationship. EPP continues to strengthen its position as a leading investor on the Polish commercial real estate market. We are proud to work closely with our Client so that they can achieve their goals ” – said Kamil Osiński, Partner at K&P, Advocate and Head of Real Estate Practice.
Kochański & Partners team was headed by Kamil Osiński (Partner, Head of Real Estate Practice) and Malwina Stajniak (Associate, Real Estate) with the participation of Marcin Rżysko (Senior Associate, Real Estate), Dr Marcin Huczkowski (Senior Associate, New Technologies & Telecommunications), Klaudia Szymańska (Senior Associate, Financial Services), Dr Agnieszka Serzysko (Senior Associate, Financial Services), Katarzyna Cybulska (Senior Associate, Infrastructure & Construction), Joanna Kośmider (Real Estate), Piotr Ząbkiewicz (Associate, Corporate / Mergers & Acquisitions), Aneta Serowik (Associate, Corporate) and Kamil Wróblewski (Junior Associate, Real Estate).
Echo Investment S.A. was represented by Weil Gotshal & Manges.