H.I.G. Reality Partners, together with Norwegian fund manager Realkapital Investor, have successfully divested Vitaminveien 1 A, located in Nydalen Oslo. The multi-tenant office asset was acquired by Malling & Co Property fund.
Located in the Nydalen city district, just outside the city centre, the asset benefits from the successful urbanisation process taking place in this area, including substantial residential development which has made it into one of the most attractive places to work and live in Oslo. This is underpinned by a prosperous leasing market and close to the highest real rental growth seen in Oslo during 2017. General consensus is for continued real growth in the short to medium term.
Vitaminveien 1 A has a gross floor area of ~ 21 500 sq. m and there are also permits for a new infill project of close to 2 000 sq. m, expected to be completed by year end. The asset was originally completed in 2002 and serves as a multi-tenant building with key tenants being Sector Alarm and GE Healthcare. Its location on top of the metro station and with affluent parking a competitive advantage, well supported by several new contracts on attractive levels.
H.I.G and Realkapital was advised by Akershus Eiendom, with legal advice from Haavind. Thommessen acted as legal advisor for Malling.
H.I.G. Capital is a leading global private investment business with over $ 24 billion of equity capital under management. H.I.G. Europe Reality Partners is the European real estate arm of HIG and has a broad exposure to the Nordic region with acquisitions totalling more than EUR 400 million over the past 24 months and predominantly in Norway.
Realkapital Investor is a private equity fund management company set up to structure and manage real estate investment funds and syndicates. It has extensive experience and proven track record from the real estate market in addition to considerable experience in structuring and managing funds. The company has strong alignment of interest with investors through co-investments and performance-based fees.
Malling & Co Eiendomsfond AS is an unlevered Norwegian property fund with committed equity from institutional investors. It targets high quality and low risk assets in the major cities across Norway. The fund is managed by Malling & Co Investment Management.