The acquisition price is MDKK 47. The initial return is calculated at 6.50 percent and is based on a lease agreement that is non-cancellable until 1 September 2023.
The property is a well-situated office property in Frederiksberg with an area for office rental of 2,071 sqm and 707 sqm roof garden. The property was erected in 2007 as modern large space offices. On the lower floors there are parking areas and a supermarket. The fact that the property is suitable for conversion to residential purposes of up to 2,740 sqm has been decisive for Copenhagen Capital's purchase.
For partial financing of the purchase, the Board of Directors of Copenhagen Capital has decided to issue 1,714,287 shares. 8 percent Copenhagen Capital 2020/24 preferential shares at a price of 1.75, corresponding to a gross proceeds of DKK 3.0 million. The shares do not carry any right to dividend for 2018 and are subscribed by the sellers of the property.
For 2019, a profit of between MDKK 9.0 and 12.0 is expected before value adjustments of the company's properties, adjustment of debt at market value and tax. Positive value adjustments are also expected in 2019, provided unchanged return requirements in the market.
Copenhagen Capital Buys from JJW Architects
Denmark —
Copenhagen Capital has entered into an agreement to purchase the property Finsensvej 78, 3 & 4, 2000 Frederiksberg from JJW Architects.
2019-03-04
Axel Ohlsson
[email protected]