Wigan Acquisitions, has partnered with a Hong Kong private investment fund to purchase the K6 building in Astoria, a landmark area of downtown Budapest.
The building was previously the post-modern headquarters of the state-owned Hungarian Art Gallery until 2006, when it was fully renovated and now extends to 1,400 sq m of retail and offices over seven floors. Due to the asset’s central location, proximity to public transport and flexible floor plates, K6 operates with 100% occupancy and is currently let to leading international travel fare aggregator website, Skyscanner, and Hungarian travel agency Utazom.
This follows the co-investment in Austria House earlier this year by Wigan Acquisitions as it looks to build its operating portfolio of best-in-class properties in city centres across Central and Eastern Europe, where latest research shows that yields are still set to outperform comparative all-property investments in Western Europe.
Patrick Wigan, Managing Director of Wigan Acquisitions, added: “Following the successful co-investment in Austria House in early 2018, we’ve now grown our portfolio with the addition of the K6 office and retail building with Skyscanner and Utazom as valued tenants. This further supports our co-investment strategy targeting prime city centre office and retail buildings offering higher yields relative to western Europe, sustainable income and long-term capital appreciation.”