Meyer Bergman adds two assets to its Oslo high street portfolio

Foto: Karl Johans gate 16B & Kongens gate 31

Oslo June 2018 – a fund managed by Meyer Bergman has, with assistance of its Norwegian management company Promenaden Management, acquired Karl Johans gate 16 B and Kongens gate 31 from Victoria Eiendom to add to an existing portfolio in the heart of the premium high street district of Oslo.

Both assets benefit from Norway’s highest footfall, corresponding to close to 13 million people per annum. The properties are mixed-use assets with prime retail on lower floors and offices from 2nd floor upwards. Karl Johans gate 16 B has a gross floor area of 3 206 sq. m and Kongens gate 31 of 2 230 sq. m.

Promenaden Management already manages the neighbouring property, including Steen & Strøm Department Store, Norway’s oldest department store, established in 1797, so the acquisitions will give it full ownership of the entire city block, presenting great strategic options and synergies going forward.

Karl Johans gate is the main shopping street in Oslo, stretching from Oslo Central Station to the Royal Palace, and with a wide variety of retail shops in Karl Johans gate and adjacent streets. The high end and luxury district is found in the areas around the pedestrian intersection between Karl Johans gate and Nedre Slottsgate, as well as the area around Egertorget.

The area has undergone a major transformation in recent years, with significant improvements made to infrastructure, the quality and lay-out of the retail space through refurbishment initiatives, as well as a more exiting and connected tenant mix. Tenants like Louis Vuitton, Hermes, Saint Laurent, Burberry, Bottega Veneta, Michael Kors, Gucci among others are all established in this area, along with the two main high-end department stores in Oslo: Steen & Strøm and Eger. Promenaden Management’s strategy is to build on this momentum by establishing the areas as a new fashion district, supported by the entrance of international retailers. This has been embraced by local and recently international shoppers, resulting in strong performance and rapidly rising rent levels. The attractiveness of the area continues to fuel retailer demand for the best locations and expectations of several new entries going forward.

Akershus Eiendom acted as sole manager on the transaction, while Thommessen and Selmer acted as legal advisor for Meyer Bergman and Victoria Eiendom respectively.

Meyer Bergman is a multinational development, fund management and investment firm. With a focus on retail development and investment opportunities, Meyer Bergman has over €6 bn of assets under management, in addition to administering a third-party investment fund focused solely on retail assets for international institutions.
Meyer Bergman has a strong track-record of delivering retail transactions given its exclusive focus on this asset class.  In particular, Meyer Bergman has acquired high street buildings in Grensen 17 and the Promenaden Portfolio in Oslo, Norway, on Kobmagergade in Denmark, Bond Street, Burlington Arcade and Piccadilly in the UK, Serrano in Madrid, and Champs-Elysees in France, showing our ability to acquire prime high street in a competitive market.

Promenaden Management, manage and lease prime retail and commercial buildings in central Oslo. The company is owned by the British company Meyer Bergman and manages properties owned by Meyer Bergman or owned by funds under the management of Meyer Bergman.

Victoria Eiendom is a Norwegian property company. It was established in 1993 following a de-merger from Eiendomsspar.
By year end 2017 its portfolio totalled 105 110 sq. m with a rental income of NOK 173 million and an estimated value of NOK 2.9 billion. Victoria is also the main shareholder in Eiendomsspar where its shareholding per 31.12.2017 totalled NOK 7.5 billion.

Akershus Eiendom is the leading Norwegian property advisor established in 1992 providing a wide range of advisory services within capital markets, leasing, corporate solutions and research/valuation. During 2017, Akershus Eiendom executed transactions with a total worth of ~ €1.9 billion in the Norwegian market divided between 47 transactions and a volume of NOK 8 billion 2018 YTD. Since, 2001 Akershus Eiendom has been JLL’s affiliated partner in Norway.

Deal Team

Knut Berget
+47 482 10 613

Roar Sandnes
+47 901 57 928

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