Merlin Properties grows Portuguese presence
Spain’s Merlin Properties has acquired two properties located in Lisbon, the Monumental building and the Tower of the office complex Torres de Lisboa.
The Monumental building, is an emblematic property in Lisbon, located in the heart of the financial district in Duque de Saldanha square.
The building is a mixed-use property with GLA of 22,387 sqm divided in 16,892 sqm of office and 5,495 sqm of retail space.
The office component is distributed in 12 stories and is current leased at 89% to several national and international companies such as KPMG, Marsh and Mercer.
The retail space counts with 41 retail units and is occupied at 98% by national and international operators.
The Tower A, comprises 13,715 sqm above ground of office GLA distributed in 16 story and is currently fully let to the multinational energy company Galp, one of the largest listed Portuguese companies with a market capitalization of €9bn and with sales above €17bn.
The Tower A is part of the consolidated office Business Park Torres de Lisboa that counts with 8 buildings (7 office building and 1 hospital), over 70,000 sqm and 1,683 parking units.
The office complex is located in the ring road of Lisbon, with excellent visibility and the next to the main communication axis, and
The aggregate price of the transaction amounts to €103m, fully disbursed with equity. The acquisition price implies a 7.4% gross yield and 6.5% net initial yield (in accordance with EPRA).
With this transaction, Merlin increases its portfolio in Lisbon to three buildings with a GLA of 42,842 sqm, an average of occupancy of 95.3%.