Tower Property Fund completes its first industrial acquisition in Croatia
The real estate investment trust expands further into Eastern Europe
Tower Property Fund’s subsidiary company TPF International has expanded further into Croatia through its acquisition of an industrial property there.
This is the Western Cape-based property fund’s second investment in Croatia. It will spend €8.592m (R131.6m) on the industrial property, which includes two buildings situated in Zagreb, and is the first industrial property to form part of the TPF International portfolio. TPF already owns an office building in the Eastern European country.
It acquired the industrial property, which comprises two A-grade buildings of two floors each, from VMD. The building is Žitnjak, the largest industrial node in Zagreb. It has easy access to motorways, which provide access to Slovenia, Hungary, Austria and the rest of Croatia, said TPF director and Tower CEO Marc Edwards.
The property has a 10-year lease with an automotive component manufacturer.
Edwards said the purchase was in line with TPF International’s strategy of growing its Eastern European returns by acquiring well-located and attractively-priced assets.