Merlin instructs Garrigues on €29m Lisbon office block deal

Merlin Properties was advised by Garrigues on its acquisition of Central Office Building in Lisbon.

The building – which is located in Dom Joao II 45, the main avenue in Parque das Nações in Lisbon – consists of 13 storeys with total letting space of 10,310 square metres. All parts of the building are currently occupied.

Merlin acquired the building for €29 million, which equates to € 2,850 per square metre and a 6.8 per cent gross yield.

The property was originally designed by architect Federico Valsassina and opened in 2005.

A Merlin Properties statement said: “In 2016, office take-up in Lisbon reached its maximum level for the past eight years – more than 145,000 square metres –  sustained by positive macro data, a competitive labour market and a great quality of life, which is attracting the ‘back-office’ of several multinationals.”

The Garrigues team advising on the deal was led by partners Jorge Gonçalves and Mário Lino Dias.