One-of-a-kind trophy asset, where historical and characteristic details have been preserved.
OFFICE & RESTAURANT
The rental income is generated from 79% office, 19% food & beverage and 2% parking.
SECURE CASH FLOW
Rental income is generated from quality serviced office space & a restaurant on a +11-year lease.
LOW STRUCTURAL VACANCY
Great occupier demand for The Villa office space with a waiting list of potential tenants
INVESTMENT HIGHLIGHTS
CENTRAL LOCATION
At the entrance to Copenhagen with view over The Lakes and close to Copenhagen CBD.
PUBLIC TRANSPORT
Easily accessible by car, bike and public transportation with 400 meters to Forum Metro Station.
DEPRECIABLE INVENTORY
The buyer takes over depreciable inventory and can deduct maintenance costs for the listed building ("Forfald pr. år-ordningen")
AUTOMATIC IT-SYSTEMS
Fully integrated IT service systems for the administration of The Villa are included in the transaction.
UPGRADED F&B CONCEPT
The restaurant operator is launching a new concept matching the unique location.
ASSET DEAL
The transaction will be carried out as an asset deal.
INTRODUCTION
Cushman & Wakefield | RED offers the property Ewaldsgade 7-9 for sale.
This is a rarely offered opportunity to acquire a oneof-a-kind trophy asset located in one of the most vibrant areas in Copenhagen.
Ewaldsgade 7-9 is a mixed-use property of quality serviced office space in the community, The Villa Workspace, and a restaurant on the ground floor.
The Seller has invested in fully functional and automatic IT systems for the administration and operation of the property, so that the office hotel can be run independently with no need for onsite staff, reception or canteen. The IT infrastructure and the entire furnishing in the property are included in the transaction.
PROCESS
The sales process is a first come, first served limited marketing process. The Seller wishes to engage in dialogue with interested investors until a formal exclusivity agreement has been signed with a potential buyer.
The transaction will be carried out as an asset deal.
LOCATION
CITY LIFE AND RECREATIONAL SURROUNDINGS
Ewaldsgade 7-9 has a unique location with a view over Peblingesøen in Copenhagen, close to both Copenhagen CBD and the high-end residential area of Frederiksberg. The location at Ewaldsgade is the perfect combination of vibrant city life and recreational surroundings by The Lakes.
ATTRACTIVE INFRASTRUCTURE
The property is easily accessible using cars, bikes, and public transportation. Within 400 meters, Forum St. is located, with M1 & M2 connection towards Vanløse, Vestamager and Copenhagen Airport. With the opening of the M3 line ("Cityringen") in 2019, most parts of Copenhagen city can be reached within a few minutes.
The locations close proximity to the inner city, historical attractions and green surroundings make the area attractive for office and F&B occupiers. This creates a solid foundation for a great occupier demand – both now and in the future.
The attractive location close to Copenhagen CBD and unique recreational surroundings creates a solid foundation for a strong occupier demand
ASSISTENS KIRKEGÅRD
THE PROPERTY
FORUM ST.
ØRSTEDSPARKEN
BOTANISK HAVE
VESTERPORT ST.
DESTINATION
Ewaldsgade 7-9, 2200 Copenhagen N
CITY HALL
SKT. HANS TORV
THE PROPERTY
UNIQUE PROPERTY
The charming building was built in 1960 and has continuously been upgraded and refurbished. The property presents newly renovated throughout most of the building.
With Ewaldsgade 9 being listed, the historical characteristic details have been preserved. Although Ewaldsgade 7 shares similar features, the building is not listed.
The Seller has recently invested in redecoration/restoration of all external window frames, a newly etstablished roof terrace for the restaurant and three new meeting rooms in the basement for The Villa tenants.
TENANT MIX
Ewaldsgade 7-9 holds +20 office tenants in The Villa Workspace and one F&B tenant, La Pausa.
The Villa Workspace holds several start-up and international companies. Several of the tenants have grown and taken over more space in the property. Matters, the largest tenant, an architectural design company, has occupied the property since 2018 and expanded into the neighbouring office unit in November 2022, adding four additional workspaces.
PROPERTY FACTS
THE VILLA WORKSPACE
The Villa Workspace offers quality serviced office space in a renovated building close to Central Copenhagen.
THE CONCEPT
The concept office offers privacy and independence, where tenants occupy their own and separate private office premises with space for 2-20 people. Hence, tenants get independent offices, while meeting rooms, event areas and canteen/café are shared.
The leases are standardised, and tenants have free access to the property's meeting rooms, while event space can be rented upon agreement.
All office units are furnished with designer furniture, including tables, ergonomic chairs and storage cabinets. This furniture package is part of the lease agreements. Moreover, tenants can sign up for the lunch arrangement at the restaurant, La Pausa.
WAITING LIST
The office concept is well-functioning with a great occupier demand. Today, the office hotel has a low structural vacancy level, and several companies are on a waiting list to become tenants in The Villa.
The Villa is an independent community of office occupiers holding separate office premises with space for 2-20 people.
THE RESTAURANT
THE TENANT
The property comprises an exclusive restaurant on the ground floor, leased to La Pausa ApS, which has a partnership with the owner of the world-renowned three Michelin-star restaurant, Noma.
The operator is launching a new and upgraded concept. With new furnishings and the roof terrace, the restaurant delivers a quality that matches the unique location and can attract the high-income groups living in Frederiksberg, Østerbro and The Inner City.
La Pausa ApS has been occupying the premises since 2019. However, in 2022, the landlord extended the kitchen and established new restrooms, prompting La Pausa ApS to sign a new lease.
STABLE CASH FLOW
The restaurant generates a stable cash flow with WAULT, including the twelve month notice period of 11.2 years per October 2024.
The large courtyard with a view of Peblingesøen in Copenhagen makes the lease highly attractive for F&B tenants, and the development of the new rooftop terrace will make the product even more unique.
OPERATION OF THE VILLA
AUTOMATED OFFICE HOTEL
The Villa Workspace is an automated office hotel that requires minimal operation from the landlord. The Seller has invested in innovative and effective solutions to ensure that the office hotel run independently with no need for on-site staff, reception or canteen.
The office leaseholds are delivered furnished and functional by the Seller. The Villa concept with a strong community and automated service and "own office" provides an attractive combination with a strong value proposition to tenants.
IT SYSTEMS & INFRASTRUCTURE
The Villa Workspace is currently operated by automatic IT service solutions:
• Welcome System (Notifying tenants by text or e-mail when guests, visitors and delivery have arrived)
• Local Intranet (To share updates and make caretaker/repair requests to the Landlord)
The autonomy ensures that management of the office hotel is limited to an estimated 5-10 hours per week.
INCLUDED IN THE TRANSACTION
The Villa branding, IT infrastructure and all inventories will be included in the transaction.
TAKEOVER OF AUTOMATIC IT SERVICE SOLUTIONS
OPTION 1
Investor can source code and take over the ownership of the IT.
OPTION 2
Ownership is transferred to the administrator, and the investor can subscribe to the IT solutions.
OFFICES
Private offices including furniture package
LEASE CONTRACTS
Standardized lease agreements
COFFEE & CLEANING
External operating contract
OPERATION
OF THE VILLA
EXTERNAL GUESTS
No need for reception, as a IT welcome system notifies tenants
LUNCH
Neighboring property has a canteen that tenants can sign up for. Furthermore the in-house restaurant is a prefered venue for the office tenant
BOOKING OF MEETING ROOMS
Independent booking system
PRICING
RENTAL INCOME
The property generates an annual rental income of approx. DKK 5.7 M, when being fully let. 79% of the rental income is generated from The Villa and 19% from the restaurant. The remaining is generated from the 8 parking spaces let out to LaPausa and tenants in The Villa.
LANDLORD-PAID COSTS
Tenants in The Villa pay gross rent, while the restaurant, La Pausa, pays their share of the total operating costs except for exterior maintenance and property administration.
The total landlord-paid costs are estimated to amount to DKK 1.1 M, corresponding to DKK 686 per sqm.
NET OPERATING INCOME
Ewaldsgade 7-9 generates a total net operating income of approx. DKK 4.6 M when being fully let.
PRICING & YIELD
Ewaldsgade 7-9 is offered at a total price of DKK 72 M against set-off of deposits of approx. DKK 1.4 M. The invested capital thus amounts to DKK 70.6, corresponding to a return on the invested capital of 6.48%.
A financial data package, including the complete tenancy schedule and operating accounts, can be sent upon request.
PROFITABILITY
BREAKDOWN OF THE SQM PRICE
OUTDOOR SERVING AREAS, PARKING & INVENTORIES
Ewaldsgade 7-9 provides parking facilities for the tenants and unique outdoor serving areas for the restaurant with a beautiful view over The Lakes.
When assessing the price per square meter, it is essential to consider the rental income generated from the 8 parking spaces on terrain, along with the 303 m² garden and serving area and the 80 m² rooftop terrace for the restaurant.
As many properties located in Copenhagen City do not offer such amenities, the parking income, outdoor serving areas and inventories included in the asking price must be factored in when underwriting the asking price of DKK per sqm for Ewaldsgade 7-9.
RENT LEVEL
IN THE VILLA
SERVICED OFFICE SPACE
The tenants in The Villa Workspace are on gross leases and included in the rent are services such as:
• Furnitures
• Meeting rooms
• Booking system
• Lounge areas with access to kitchen
• Heating
• Electricity
• Internet
• Cleaning, etc.
THE RENT LEVEL
The average gross rent in The Villa Workspace is DKK 3,329 per sqm per year, corresponding to DKK 3,955 per dedicated workstation per month. This rental level covers services office workstations in the tenants' private offices.
Included in the rent level for The Villa occupiers are landlordpaid services and facilities, which are not covered in the market rent for regular offices in Copenhagen
RENT LEVELS FOR SERVICED
OFFICES IN COPENHAGEN
FLOOR PLANS
FLOOR PLANS
RESONANS
BAILEY'S
FLOOR PLANS
SPORT
SECOND CAPITAL
SCHMIDT JØRGENSEN & PARTNERE
KAPITAL PARTNER
FORLAGET ARONSEN
MARKIT B2B
EDUFLOW (B)
COLUMBI DK
FLOOR PLANS
Ewaldsgade 7- 3rd floor
Ewaldsgade 9 - 2nd floor
FLOOR PLANS
Ewaldsgade 7- Loft
Ewaldsgade 9 - Loft
Ewaldsgade 7-9
Floor plans Scale:
SITE PLAN
KIM SØBERG PETERSEN
Partner
Capital Markets
ksp@cw-red.dk
+45 21 83 16 21
LIOR KOREN
Partner, Head of Capital Markets
Capital Markets
lk@cw-red.dk
+45 27 11 05 08
CHARLOTTE HUSEN
Director
Capital Markets
chu@cw-red.dk
+45 29 28 87 71
JOSEFINE PFEIFFER
Manager
Capital Markets
jop@cw-red.dk
+45 29 90 06 55
MARKETING
THE PROPERTY IS MARKETED BY CUSHMAN & WAKEFIELD | RED
For further information or access to data room, please contact Kim Søberg Petersen or Lior Koren.
DISCLAIMER
1. This investment memorandum is prepared solely for the guidance of prospective purchasers. The memorandum is intended to give a fair overall description of the property only.
2. Any information contained in this investment memorandum is given by the seller. Cushman & Wakefield | RED declares, that the information to our knowledge is correct and represents the actual parts and aspects of the property at the time when this investment memorandum was prepared. Certain aspects may have changed from the preparation of this investment memorandum until the property being sold. The buyer is encouraged to do their own commercial, legal and technical due diligence of the property in relation to a prospective purchase.
3. No employee at Cushman & Wakefield | RED has any authority to make or give any representation or warranty whatsoever in relation to the property since this is reserved to the Seller only.
3,
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