30 December 2019, Riga - The last month of 2019 was marked by the entrance of new investor to the Baltic real estate market – VIG FUND a.s., the real estate investment vehicle of Vienna Insurance Group (VIG), has acquired three landmark office buildings in Riga at Kalku street 12, Kalku Street 15 and Brivibas boulevard 21 from Baltic RE Group. Colliers Baltics investment team has represented the seller in this transaction.
“Transformation of this portfolio executed by Baltic RE Group shows that historical buildings can be successfully commercialized creating value for their owners and spark interest of professional investors. We are glad to welcome VIG FUND to the Baltics with this landmark transaction for Latvian office market“, comments Angela Kolesnikova, Head of Investment department at Colliers Baltics.
The seller - Baltic RE Group - is an experienced real estate investor founded by Giovanni dalla Zonca and Marco Chioatto specialized in the creation and management of value-add and core portfolios in the Baltics since 2008. Baltic RE Group invests in the purchase of state-of-the-art facilities, where they implement innovative solutions and attract reliable, well-known tenants.
“I am proud of having closed such a successful deal with VIG FUND. During our negotiations, I realized that we have the same values and the same approach to investments: unique historical assets, unrivalled locations and prudent long-term view. VIG FUND is for sure the best possible player to pass the baton of owning buildings we have a special feeling toward. We will continue our cooperation in the future as we have been chosen to manage the sold properties and as proven common values can be a solid basis for future achievements.
About us, I can say that we will continue to significantly allocate funds in the region in the coming years, being convinced that Riga and Latvia - which allowed us to invest with extraordinary success in a highly professional environment - represent a great opportunity as a destination for prime long-term investments” says Giovanni dalla Zonca, chairman of the Board, CEO and founder of Baltic RE Group.
“With this acquisition we continued our strategy to invest in Class A assets in core locations in Central and Eastern Europe. This also underlines the Group’s investment approach of sustainable commitment to the region”, stated Caroline Mocker, chairwoman of the Board of VIG FUND.
VIG FUND is a group company of VIENNA INSURANCE GROUP AG Wiener Versicherung Gruppe (“VIG”) which is the leading insurance specialist in Austria as well as in Central and Eastern Europe, with more than 25.000 employees operating in around 50 insurance companies in 25 countries.
VIG FUND concentrates on the acquisition of real estate in the Central and Eastern European region with a focus on commercial real estate (retail/ office) in prime locations.
Legal assistance was provided by Ellex Klavins for the buyer and Ecovis Convents for the seller.
More info on the transaction objects: