EfTEN Kinnisvarafond news
EfTEN Real Estate Fund sells three properties to company managed by Zenith Capital Management
EfTEN Real Estate Fund sold Stora Enso production building in Tänassilma, Mediq logistics centre in Saue and Hanza Mechanics production building in Tartu to company managed by Zenith Capital Management.
According to Viljar Arakas, fund manager of EfTEN Real Estate Fund, selling these three properties was part of the fund’s strategic plans to sell the smaller projects and focus on managing larger investments. Rate of return on invested equity capital after success fee reserve is 56% on annual basis and equity multiplier is 1,6. The holding period of the project was 16 months and transaction was based on 8,2% current yield level.
“Acquisition of production and logistics centres positioned in established industrial parks, that have international lessees, suits well for our client’s investment portfolios. Industrial property is a very perspective and liquid investment product for us, because in addition to difference in labour costs, the costs related to real estate are still lower in Estonia then in Scandinavia,“ said Kristel Meos, partner of Zenith Capital Management.
EfTEN Real Estate Fund acquired above-mentioned three properties last year in block transaction. In addition to previously mentioned three properties also flagship store of K-Rauta in Tondi and Logistika Pluss logistics centre in Tallinn, Punane st were acquired.
EfTEN Kinnisvarafond AS, a real estate fund founded in 2008 by EfTEN Capital, invests in commercial real estate in Baltics and currently manages a portfolio with 21 properties in total in Estonia and Latvia. EfTEN Capital AS is an asset management company founded in the same year, which specialises in commercial property funds and portfolios. EfTEN Capital AS is a licenced fund manager, registered in and supervised by the Estonian Financial Supervision Authority. The company also offers private commercial real estate portfolio management services
Zenith Capital Management is an independent wealth manager and business advisor. We are exclusively devoted to handling the investments, legacy and personal needs of wealthy individuals, their families and corporations owned by them.
Zenith Capital Management operates based on family office principle. Zenith Capital Management Clients are both local and international individuals and the company operates in the fields of wealth management, real estate management, corporate finance and business advisory.