Press Releases

ECM sells City Empiria building /17. 05. 2010/

Luxembourg, 17th May 2010 – ECM Real Estate Investments A.G. (“ECM” or the “Company”) announces that it has sold the City Empiria building to a large institutional investor (“Buyer”). sells City Empiria building

The Board of Directors of ECM wishes to announce that it has fully completed the transaction for the sale of its 100% stake in ECM City Empiria, a.s., the owner of the second tallest building in the Czech Republic , the City Empiria on the Pankrac Plain in Prague 4. The adjoining conference center building, called the City Forum, was sold also to the same buyer.

The contracting parties have agreed to a total purchase price for both properties of EUR 71.5 million, which is on par with a recent market valuation prepared in form of an independent appraisal. The Purchase price is based on an average exit yield of 7.5% and results in net proceeds of EUR 12.1 million after the deduction of associated debt.

“We are very glad to have completed this particular transaction, as we have managed to sell both projects to a very reputable buyer who for us is the guarantor of future successful operations of both properties. We have, again, also managed to prove that even during difficult times in the real estate sector, quality products will find buyers for very favorable prices for the seller. The company plans to use the received proceeds as its equity contribution in future business operations.” comments Mr. Milan Janků, ECM’s President, Chairman of the Board and the ultimate controlling shareholder. 

 

For further information please contact:

Jiří Tošek
Director of IR
ECM Real Estate Investments
Tel:             +420 224 174 791
Email:         jtosek@ecm.cz