Afiaa acquires in Portugal

Afiaa Investment Foundation has acquired the office and commercial building at 242 Avenida da Liberdade in Lisbon. The purchase was made as part of an asset deal. The seller was the real estate fund Real Added Value PN - Fundo de Investimento Imobiliário Fechado, represented by the Portuguese investment manager Lace Investment Partners. There is no information on the purchase price. According to the company, the property will be added to the portfolio of the Afiaa Global investment group. It is Afiaa's second investment in the Portuguese capital.

The new acquisition is a twelve-story building built in 1969 with around 9,600 sqm of total leasable area, which was extensively modernized in 2018/2019. It has an "Energy Performance Certificate" level A, which corresponds to the second-best classification, Afiaa said. The site stands out for its prestigious location in Lisbon's Prime CBD and good transport links, it added. The space is currently leased at 98%, predominantly to insurance company Generali Seguros Portugal, it said.

"We decided to purchase the property because of the long-term lease agreement with a main tenant with a strong credit rating and the high quality of the construction," explains Sebastian Feix, Head of Transactions at Afiaa. The shortage of space in the submarket in question also gives rise to expectations of high value stability and potential for value appreciation in the medium to long term. Lisbon's attractive risk-return ratio compared to other European core markets, positive economic outlook and remarkable resilience speak for itself, says Feix: "Even during the Corona pandemic, there was stable demand for office space here."

Afiaa was advised on the transaction by Cushman & Wakefield and legally by Morais Leitão. (bw)