Cofinimmo launches subsidiary investment

Tim Harrup

Cofinimmo has announced that it is launching the contribution of its offices portfolio into a subsidiary. The contribution into this subsidiary fits into the value creation strategy for the offices portfolio, the company says. This will allow future investors, in due time, to participate in the capital of the subsidiary (of which the control would be maintained) while benefiting from Cofinimmo’s very experienced management and investment platform. Meanwhile, the Group will be able to recycle a part of the capital that has been invested in this portfolio. The specialised offices subsidiary will have the status of an institutional regulated real estate company (‘IRREC / SIRI / IGVV’).

The contribution is currently scheduled to be completed during the last quarter of 2021 at the earliest. This operation will have no effect on the consolidated accounts nor on the dividend.

Cofinimmo’s offices portfolio is currently mainly composed of 77 buildings with a total surface of around 550,700 m² and an approximate value of 1.4 billion Euros, representing around 30% of the company’s total portfolio. It is mainly located in the Brussels Central Business District as a result of the re-centralization to that area, initiated mid-2018. Simultaneously, states Cofinimmo, its internal teams are following the dynamics of market demands with regards to flexibility and innovation and collaborate to achieve the best possible results in terms of energy efficiency and ESG (Environment, Social, Governance).