DWS, through one of its German real estate funds, has closed the sale of the iconic office building located at 2 Avinguda de Josep Tarradellas in Barcelona to real estate manager Franklin Real Asset Advisors, which has acquired it on behalf of Franklin Templeton's social infrastructure strategy.
The 17,500 square metre building was acquired by DWS in 2015. It is currently leased to the Generalitat de Catalunya on a long-term lease. It houses the headquarters of the Department of Territory and Sustainability, which plays a key role in the management, modernisation and conservation of the territory.
Manuel Ibáñez, Head of Real Estate Iberia, comments: "This transaction demonstrates DWS's ability to successfully close the lifecycle of a good acquisition and asset management deal, generating an attractive return for its investors.
Raymond Jacobs, Managing Director of Franklin Real Asset Advisors, comments: "We are delighted to acquire this asset, which allows us to further strengthen our existing relationship with the Generalitat de Catalunya. In line with the objectives of our social infrastructure strategy, we will work with the Government to explore partnerships with social stakeholders and make environmental improvements to the building".
Michel Lim, vice chairman of Franklin Real Asset Advisors, added: "This transaction is our largest investment to date and the sixth acquisition for our social infrastructure strategy in Spain. It originates from an off-market sale process, which has allowed us to acquire the building on attractive terms for our investors. Thanks to our extensive network of lenders, we have secured favourable financing terms, benefiting from a reduced margin when certain levels of green certification are achieved".