Polish developer 7R in joint venture with US investment company InSite Real Estate have divested BWI Group’s research and development center in Balice, Poland. The property, that is almost self-sufficient in energy, has been acquired by the REICO ČS LONG LEASE, a Czech investment fund, managed by the REICO investiční společnost České spořitelny, a.s. The value of the transaction is approximately EUR 27.3 million.
The BWI Group’s R&D center, developed by 7R in Balice, has 11,000 sqm of laboratory and office space and is BREEAM-certified at Very Good level. It consists of two environmentally friendly, interconnected buildings, built in 2020. The sole tenant of the property is BWI Group, a global automotive suspension parts design and manufacturing company.
The BWI Group research and development center is secured on a long term lease. The acquisition is a major milestone in expanding the REICO ČS LONG LEASE fund and a clear message for shareholders and business partners what to expect from the fund in the future.
Tomáš Jandík, Chairman of the Board of Directors of REICO IS ČS
The asset divested by 7R is located in an attractive location in the Małopolska Region, in the immediate vicinity of Kraków Airport, approximately 1 km from the A4 freeway, linking the country with Germany to the west and Ukraine to the east. The center of Kraków is approximately 20 km away and is easily accessible by various means of transport.
The just sold BWI Group’s building is characterized by exceptional lease stability and green solutions. With this project, we show that a zero-carbon future is possible. We know that investors are looking for high quality products that provide profit in the long term and, what’s very important, meet ESG standards. This is the case of BWI Group’s new headquarters in Balice. We are pleased that such a unique project will expand the portfolio of REICO ČS LONG LEASE fund.
Łukasz Jachna, Chief Capital Markets Officer, Member of the Board at 7R
The divested facility is unique in terms of proecological solutions and energy production, as it is using the high-tech trigeneration system. Advanced technology allows for the gas turbine to generate the energy needed to power, heat, cool and ventilate the building. This is the first implementation of this type of technology in an office and laboratory facility in Poland. 7R developed this property comprehensively in BTS formula (Build-to-Suit) – starting from land acquisition to addressing all operational, technical, environmental and staffing requirements of the tenant.
In 2021, we have sold 17 projects worth almost EUR 400 million. We are proud that our construction strategy focusing on innovations and aligned with ESG criteria fits into the business models of international investors such as REICO ČS LONG LEASE.
Tomasz Kostrzewa, Senior Investment Director at 7R
The buyer was represented in the transaction by White & Case, TPA, Knight Frank, and Arcadis. 7R and InSite Real Estate’s advisors was Baker McKenzie.