Real estate company Eastnine acquires Warsaw Unit, a 46-storey office building in Warsaw, for EUR 280 million, approximately SEK 3.23 billion, from Ghelmaco.
The deal will increase the company’s earnings per share by 18%.
The property extends 202 meters above ground and houses a total of 59,800 square meters of leasable area and 400 parking spaces, spread over 46 floors above ground and three below.
The acquisition was financed with existing cash, a five-year secured green bank loan of EUR 168 million from German and Vienna-based lenders Helaba and Erste Group in equal parts, and a separately announced issue of nearly 8.8 million new shares to Warsaw Unit NV, a subsidiary of the Ghelamco Group. The subscription price is Eastnine’s long-term net asset value.
“I can hardly imagine a better way for us to enter the Warsaw market than by acquiring a top property in a prime location. We are very grateful to Ghelamco, which has not only developed this amazing landmark that is changing the Warsaw skyline, but has also become a shareholder of Eastnine,” said Eastnine CEO Kestutis Sasnauskas.
With the acquisition, Poland will become Eastnine’s largest market and will account for over 50% of the real estate portfolio.
“The acquisition of the Warsaw Unit is a very important milestone in our growth journey, not only by entering the capital of Europe’s fastest growing economy, but also by significantly increasing our profits,” Sasnauskas said.