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Land Securities divests part of UK garden city project; Singapore's GIC places Munich tower for sale


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Land Securities divests part of UK garden city project; Singapore's GIC places Munich tower for sale

*Land Securities GroupPlc has off-loaded two-thirds of its Eastern Quarry site inEbbsfleet, Kent,U.K., to Henley Camland for an undisclosed price, PW reported.The land has the capacity to accommodate nearly 4,700 homes, along with leisureand commercial developments, for an estimated development value of around £1.1billion. Land Securities has retained the remaining third of the site, whichcan accommodate another 1,500 homes, the report said. The Ebbsfleet site ispart of a government-backed garden city scheme.

* Singapore's sovereign wealth fund, GIC, has placed the O2Tower in Munich up for sale, PropertyEU reported,citing confirmation from the fund. The 146-meter-tall 50,700-square-meter assetis leased to Telefonica, and is expected to go for around €350 million, thereport said. The asset also includes four seven-story campus-style buildingscomprising 25,600 square meters of space beside the tower.

*IVG Immobilien AG is"well-advanced" to form a property unit comprising German buildingsworth €3.2 billion in 2016, in line with its plan to divest most of its European office properties,Bloomberg News reported, citing IVG CEO Dietmar Binkowska. The newFrankfurt-based property unit could be structured as a REIT. A sale of the unitcould also take place in the form of a public offering or trade sale, accordingto Binkowska, who added that the company is keeping all of its options open.

*Cerberus Capital Management has launched The Towd Point Mortgage Funding2016-Granite 1 sale and will securitize 80,599 legacy Northern Rock mortgages,CoStar U.K. reported.The pre-placed £6.2 billion U.K. RMBS sale is said to be the biggest European ABSsale since the financial crisis. The sale is part of the £13 billion Northern Rock nonperformingloan portfolio acquired from the U.K. government.

*JLL has dropped out of the race to acquire Bilfinger's property businesses,including Bilfinger GVA, Property Week reported.The publication said, citing a source familiar with the matter, that JLL bowedout owing to "racy" bidding prices reaching £1.7 billion. Threeparties are left in the bidding process, including two French groups andSwedish private equity firm EQT. The preferred bidder is expected to be revealedas early as next week, the source told the publication.

CBREwas previously reported to be in talks for the acquisition.

UK and Ireland

*Pacific Industrial & Logistics REIT, the new venture backed by property investor Sir John Beckwith'sPacific Investments, is set to float on the AIM market of the London bourse inthe upcoming week, PW reported.The REIT will focus on U.K. industrial and logistics assets with average lotsizes below £10 million, and is targeting a more than £250 million portfolio intwo years, the report said.

*St. Modwen PropertiesPlc shares surged 3% following the announcement of Mark Allan'sappointment as CEO, PW reported.Allan will step down as CEO of Unite Group Plc, as reported earlier.

*Inhabit, a new private rented sector developer, launched with a seven-siteportfolio slated for 3,500 homes, PW reported.Planning consent is in place for six of the seven sites in regional U.K. citiesManchester, Liverpool, Leeds, Glasgow, Aberdeen, Birmingham and Bristol. It istargeting a more than £1 billion regional portfolio, through forward-fundingand acquisitions, according to the report.

* BrentCouncil has approved redevelopment plans for to convert a disused office blockin Wembley in north London to two residential towers, PW reported.The towers will have 21 and 26 stories respectively, and will be the tallest inWembley, the report said.

Construction Enquirer alsoreportedon the news.

* Flats worth more than £60 million were sold at the launchevent of The Stagedevelopment in London's Shoreditch, PWreported,citing Galliard Homes and Cain Hoy, the developers of the £750 million project.More than 80 flats were sold, and around 95% of the buyers were U.K.-based. Thedevelopment is slated to complete in the first quarter of 2019, the report said.

* Swedish pension manager Alecta is looking to sell a24-asset portfolio of U.K. properties valued at around £430 million, accordingto a reportfrom PW. The divestment is part of a48-asset sale of U.K. and U.S. properties worth approximately US$3.2 billion.The U.K. portfolio includes industrial, office, big box and high street retailassets in and around London, the report said.

IPE Real Estatealso reportedon the news, adding that the institution is planning to exit all of itsdirectly held international real estate.

* HFD Property Group secured funding from the Bank ofScotland for two office buildings totaling 360,000 square feet in Glasgow, inwhat is said to be one of the largest office developments in Scotland, CoStarU.K. reported.The report noted that Morgan Stanley has fully prelet one of the buildings,with 150,000 square feet of space, and the development is due for completion inOctober 2017.

* Network Rail has leased 85,000 square feet of office spaceat Baskerville House in Birmingham, U.K., to consolidate three separate officesacross the city, PW reported.

* The Panama Papers leak could trigger a "trial bymedia" and lead to a "witch hunt" against the property industry,BNP Paribas Real Estate's Adrian Owen has warned, according to a PW report.

* Over in Ireland, Johnny Ronan's Ballsbridge officedevelopment inDublin, the target of criticism, seems likely to land planning approval as thecouncilors did not raise any issues except traffic and servicing analysisrequests, the Irish Independent reported.The development drew flak for being "excessive and out of character,"according to a previous report.

France and Belgium

* Foncière des Régions said it opened two new hotels in the Paris-Charles deGaulle Airport hub, in partnership with Crédit Agricole Assurances andAccorHotels. Thehotels include the 305-key Pullman Paris Roissy CDG Airport and the 305-roomibis Styles Paris CDG Airport Roissy. The project was delivered in November2015.

* Commercial real estate investment in Paris' Ile-de-Franceregion was at €1.8 billion during the first quarter, compared to €3.6 billionin the year-ago period and €8.6 billion during the fourth quarter of 2015, PIE reported,citing data aggregator Immostat.

* Belgian real estate group Immobel inked a deal to acquirepeer Allfin, valued at €286 million, Reuters reported,citing a statement from the group. The combined entity will be the largest listedreal estate developer in Belgium with more than €850 million of joint assets.


* MERLIN Properties SOCIMI SA saidit obtained majority support from shareholders at its annual general meetingfor the issuance of up to €1.5 billion worth of bonds. The issue is meant torefinance debtassociated with its acquisition of Testa.

* U.K.-based private-equity firm Cinven has agreed toacquire Spanish property valuation firm Tinsa from its U.S.-based owner, AdventInternational, PIE reported.The price was not disclosed but the report said local media estimated to bearound €350 million.

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The Daily Dose Europe,Real Estate edition, is updated as of 6:30 am London time. Some links require asubscription. Articles and links are correct as of publication time.