Baltic Horizon Fund (the Fund), represented by the management company Northern Horizon Capital AS (the Management Company), signed a binding preliminary sales purchase agreement to acquire Duetto I office property in Vilnius, Lithuania. The seller is YIT Kausta būstas, part of Finnish YIT Corporation.
The Fund and YIT Kausta būstas have the obligation to enter into the sales purchase agreement by 31 March 2017 when the construction is fully completed. Ownership of the building will transfer to the Fund after the notarized sale-purchase agreement is concluded. The purchase price under the agreement is EUR 14,6 million (excluding VAT) resulting in a 7,22% entry yield. The seller also provides a 2 year guarantee for starting net operating income.
The property is located in the second high-rise office area of Vilnius, next to the newly completed western ring road. The building has 10 floors and underground parking space. Net leasable area of the Duetto I office building is 8,325 m2. The property is of A class energy efficiency and will have BREAAM certification. The property is anchored by Lindorff and Pernod Ricard as anchor tenants.
Once the sale-purchase agreement is signed, the Fund will also obtain a call option to acquire neighboring Duetto II when the building is constructed in the future.
Distribution: Nasdaq, GlobeNewswire, www.baltichorizon.com
This announcement contains information that the Management Company is obliged to disclose pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the above distributors, at 8.14 EET on 19th January 2017.