VTB Capital and O1Properties have announced the completion of the sale of “Lesnaya Plaza”, an A Class business centre with a total floor space of 49520 sq.m.
Jones Lang LaSalle acted as consultants for the deal, and legal support was provided by Akin Gump Strauss Hauer & Feld LLP for O1Properties and by Clifford Chance for VTB Capital.
The “Lesnaya Plaza” Business Centre was acquired by VTB Capital in 2010, as a co-investor with one of the largest global investment funds. In the same year, VTB Capital completed the re-branding of the business centre, for which it engaged one of the internationally accepted leaders in the field of real estate management. VTB Capital has also taken a number of steps to renovate the building and make it more effective.
Commenting on the deal, Tim Demchenko, Head of Private Equity and Special Situations at VTB Capital, stated: “Today, the “Lesnaya Plaza” business centre is being leased to leading Russian and international companies. After making a number of improvements, and given the current return of institutional investors to the Moscow commercial property market, we have decided to sell the business centre. The highly competitive tender was won by O1Properties Limited. We are very pleased to do business with a company that has such significant experience in the Russian real estate market, demonstrates dynamic growth and possesses impeccable reputation”.
Dmitry Mints, Chairman of the O1Properties Management Board, emphasized the great potential of the property: “Our decision to invest in the “Lesnaya Plaza” business centre was determined by our desire to be present in one of the most developed and respectable business areas in Moscow and by the moderate letting rates of the building . We see here an opportunity to significantly increase the investment value of this asset with relatively insignificant redevelopment”.
About Business-Centre “Lesnaya Plaza”
The A Class business centre “Lesnaya Plaza” is situated in one of the most important business areas of Moscow, in close proximity of the Belorusskaya Metro Station, the 1-st Tverskaya-Yamskaya Street, Butyrsky Val and Leningradsky Prospekt.
The rental space of the 14 storey building is 39,634 sq.m. The business centre was put into operation in 2005. Bacardi, Weatherford, LG and others are among the current tenants.
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