Country-Specific Info

Encore+ acquires office tower in Eindhoven

Encore+ has made another acquisition in the Netherlands, with the purchase of the office tower Kennedytoren in Eindhoven for circa €50 million.

Kennedytoren is located in the centre of Eindhoven, directly adjacent to the main railway and bus station and within walking distance of the main shopping area. The property is made up of 20,372 sqm lettable space spread over 23 floors. It also holds a BREEAM ‘Very Good’ rating and is 100% leased to a number of tenants, with Deutsche Bank, HERE Europe and Taylor Wessing as key occupiers. Eindhoven itself is a growing technological centre and was recently rated by the OECD as the most innovative city in the world based on patent intensity – used to measure innovation by the number of patents per 10,000 residents.

Encore+ is a pan-European open-ended Core+ fund, co-managed by Aviva Investors as Fund Manager and LaSalle Investment Management as Asset and Transaction Manager. The Fund has a successful 11-year track record, delivering stable and growing income alongside long-term capital appreciation, from an actively-managed portfolio. It continues to enjoy significant momentum in both capital raising and deployment, with total assets of more than €1.3 billion under management.* The three-year annualised return for the Fund is more than 9.2% (as at 30 June 2017).

 Jeffrey King, Fund Manager for Encore+ at Aviva Investors, said: “This acquisition represents a strong fit for Encore+, particularly as we continue to increase exposure to BREEAM-rated properties across Europe. With falling supply, low vacancy and a growing local economy, Eindhoven represents a growth location in the Netherlands and has become one of the most important technological regions in Europe. The asset offers stable income and strong potential for future valuation.”

David Ironside, CIO and Investment Manager for Encore+ at LaSalle Investment Management, said: “The Fund already owns one Dutch Office in the Amsterdam South Axis (Eurocentre II, acquired in 2016) which has performed extremely well for the Fund to date and together with the Venlo logistics asset, Kenndeytoren provides Encore+ with a diversified exposure to the Dutch market.”