EfTEN Real Estate Fund news
A subsidiary of EfTEN Real Estate Fund AS sold a property in the Tähesaju commercial area
The 100% subsidiary of the fund, EfTEN Tähesaju tee OÜ, signed on 13.08.2024 with Kinnisvara Info AS agreement under the law of obligations and sold the property located at Tähesaju 5 in the Tähesaju retail park in Lasnamäe, Tallinn, at a price that does not significantly differ from the property’s last balance sheet value. The transaction is planned to be completed on 16.09.2024. AS Kinnisvara Info acquires the property for its own use with the aim of using the building as a Konverter Furnishing Center. The parties have agreed that the terms of the transaction will be confidential. The transaction is not considered to be significant according to the section “Requirements for issuers” of the rules and regulations of the NASDAQ Tallinn Stock Exchange.
At the same time, a lease termination agreement was signed with the previous tenant of the property – AS Hortes, according to which AS Hortes will cease operations in the Tähesaju on 13.09.2024.
After the July 2024 stock exchange announcement of the termination of Hortes’ lease, several new tenants appeared for the Tähesaju 5 property. After a thorough consideration of the alternatives, the management board of the fund decided that from the investors’ point of view, the best decision is to sell the property to a new end user and reinvest the proceeds in new commercial real estate projects. The book value of this property is 1.3% of the total volume of consolidated real estate investments of EfTEN Real Estate Fund AS.