Direct Asian investment has arrived in the real estate market, with a Singaporean consortium buying an Amsterdam office asset.
First Sponsor Group, a Chinese developer listed in Singapore, bought the Zuiderhof I building from Europe. Singaporean private investors joined First Sponsor in the deal.
, which advised on the deal, said it was the first direct investment in the Netherlands by an Asian investor
Backed by China鈥檚 Hong Leong real estate group, First Sponsor was last year listed on Singapore鈥檚 stock exchange.
Let to legal firm Van Doorne and located in Amsterdam鈥檚 south axis central business district, the 12,500sqm Zuiderhof I building is close to several properties bought predominantly by European investors.
The south axis, or has been the main stop for German funds. Last July, Immobilien bought The Edge building for its open-ended mutual fund for around 鈧�200m.
Investors have been attracted by the area鈥檚 tenants. De Brauw, Blackstone, Westbroek, Loyens & Loeff, Boekel de Neree, RBS, Binck Bank, Boston Consulting Group, Freshfields Bruckhaus Deringer and CBRE have all located staff in the Zuidas district. Amsterdam authorities see the area, equidistant to Schiphol airport and the city centre, as a major financial and business service district.
鈥淭he outlook for the south axis is somewhat better than for the rest of the city,鈥� independent consultant, Rudolf Bak, told IP Real Estate last year.
CBRE said Asian investor interest in Dutch real estate is growing, with increasing numbers expressing a desire to buy offices, shopping centres and residential property. The advisory firm said more Asian investors are likely to follow First Sponsor.
