Kocian Solc Balastik has advised the Arete investment and real estate group on the closing of its ARETE Invest CEE II sub-fund.
According to KSB, “following the EUR 113.2 million sale of the sub-fund's portfolio to Cromwell European REIT in March, the company has paid all investors in the sub-fund and settled the bank financing liabilities.”
Arete is a Czech investment company focused on investments in completed and already leased commercial real estate, which generate regular rental income. The fund operates in the Czech Republic and Slovakia.
"We evaluate the results of the entire ARETE Invest fund, respectively both of its sub-funds, as clearly positive," Arete Group Co-founder Lubor Svoboda commented. "We closed the first sub-fund investing in residential real estate with a total average gross return of 39% per annum in 2017. The second sub-fund investing in quality logistics and light industrial real estate, which we have now settled, was able to deliver and pay its investors a total average gross return of 11% per annum, however, investors who subscribed for the sub-fund's investment shares in the first wave achieved a gross return on investment of over 20% per annum. The success of both sub-funds clearly underlines our group's ability to prepare and implement the right investment strategy for each investment period."
KSB's team included Partners Martin Krejci and Vlastimil Pihera.