Luxembourg – Spring 2012
Professional Real estate
EX C
Summary
LU
SI
Independent Building p.1 CBD Editorial
p.2
Our current offers
p.3-9
Key figures
p.10-11
brought to you by
VI
TY
Our special feature:
Focus on DEILMANN’S p.12-13 Building
Contact Us REALCORP Luxembourg 22, Avenue Monterey, L-2163 Luxembourg Tel: +352 26 27 29 www.realcorp.lu
p.1
Luxembourg – Spring 2012
Editorial How is 2012 treating you so far? As noted in our Winter Newsletter, the last quarter of 2011 produced relatively good results for Luxembourg commercial real estate, considering the uncertain European and global financial context, and we entered the year with confidence and renewed energy due to the expansion of our team and our services. We are glad to say now that our hope has so far been justified. Alain Dehem, our new Head of Project Management Services, has been busy analysing various development projects on behalf of investors. Our expanded agency team has also been active, letting to diverse companies, including Apex Funds and VW International, and overall producing higher figures than in the same quarter last year. As usual at this time of the year, we report on MIPIM, one of the major events of the real estate calendar. We recently published on our blog two interviews that we commissioned with key players who attended, Dirk Ruppert of Pramerica and Alex De Witte of Pylos. Their views correspond in several respects: the financial crisis continues to make financing difficult, however not all countries are equally affected; Luxembourg had a strong presence at the show and, despite its small size, is attracting positive interest from investors; and they both are confident that real estate expertise is still in demand. To read the full articles, please visit http://realcorp.lu/blog/ and feel free to tell us whether you agree or disagree in Comments below each post.
designed by wellknown German architect Harald Deilman, which offers 2116sqm of office space, along with terraces, balconies, archives and parking spaces. This and the Current Offers highlighted on pp 3-9 are only a sample from our full database. If your needs differ from these, we may have a solution beyond these pages, so please let us know. You may reply to this email, or bookmark the Contact page of our site for later use, after considering our more extensive Property offerings online. If you need specific expertise other than letting or sales, such as Asset Management, Valuation and Advisory or Project Management, you may wish to browse our full list of Services and contact directly the team member responsible, whose contact details are listed under each Service. In RealCorp’s view, there is expertise and expertise: there are those who excel at doing things the time-tested, traditional way that has usually worked in the past, and there are some who have the mental agility to apply their years of training and experience in creative ways to produce good results even in a challenging context. We are privileged to have some such minds at RealCorp and we seek opportunities to apply their skills in creating investment and property solutions which others may have failed to see.
In our experience, the Luxembourg market is active, although there has been the usual dip in figures for Q1. See our Key Figures Analysis for Q1 2012 (p10) for graphs, summaries and examples of Take-up, Vacancy and Rent compared with relevant periods in 2011.
If you are struggling in the current climate to sell or to let real estate, or to find a suitable property to let or to buy within your budget, or you have a project management challenge, or a requirement for creative financing, please get in touch and put us to the test!
This newsletter’s featured property (pp11-13) is an attractive independent building in the CBD,
Michael Chidiac Managing Director
Non- contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.2
Luxembourg – Spring 2012
Current Offers To let Type: Office Area: 1072 sqm Div.: 176 sqm Availability: Immediate In a green setting, close to motorways and train station, these buildings offer several floors for office use, some with terrace.
Central Business District
ref.: 204504
For sale
To let
Type: Office Area: 888 sqm Div.: 400 sqm Availability: End 2012
Type: Office Area: 368 sqm Div.: N/A Availability: Q3 2012
This Green building, LEED certified, is located at the border of Luxembourg and Bertrange. The high-standard offices can be easily partitioned.
New building, well-located, very high quality fittings, BREEAM certification, flexible floor planning, parking
ref.: 207581
ref.: 203490
O Un pp iq or ue un ity
To let Type: Office Area: 2059 sqm Div.: 396 sqm Availability: Immediate High-standard building, located on Bd. Royal. The premises are fully air-conditioned and benefit from good lighting and flexible floor. ref.: 200981
To let
To let Type: Office Area: 3145 sqm Div.: 58 sqm Availability: Immediate
Type: Retail Area: 450 sqm Div.:N/A Availability: Immediate
Totally refurbished building with luminous office spaces. The areas are well oganised and offer many possibilities of partitioning.
Totally-refurbished Period Property, offering a great view on the Place Guillaume. The spaces are majestic, full of natural light, with a great ceiling height. Rare opportunity!
ref.: 204057
ref.: 203216
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.3
Luxembourg – Spring 2012
Current Offers N
To let
EW
Type: Office Area: 275 sqm Div.: N/A Availability: Immediate Prestigious period office building, close to all amenities, spread over two well-lit levels with high ceilings. Its major asset: a garden of 90m ². ref.: 295372
Bourbon / Station
To let
To let
Type: Office Area: 748 sqm Div.: 145 sqm Availability: Contact us
Type: Office Area: 300 sqm Div.: 150 sqm Availability: Contact us
Ideally located in the Bourbon area, this office building has good standards, and has been entirely refurbished.
Very good location, close to the train station, 2 separate entrances, open space air-conditioned, to be partitioned, kitchenette. Parking available.
ref.: 201127
ref.: 295372
N
To let
EW
Type: Office Area: 1 158 sqm Div.: 259 sqm Availability: Immediate Recent building close to amenities. The 2nd and 3rd floor (each 579m²) are both easy to split and partition. Parking and archive available. ref.: 207633
To let
N
EW
Type: Retail Area: 370 sqm Div.: 52 sqm Availability: Contact us
4 small retail and restaurant spaces that can be easily combined in to 1. Parking available.
To let Type: Office Area: 1275 sqm Div.: N/A Availability: Immediate Within a calm street but easily accessible from the station, this period property was totally refurbished in 2005. The available space has high ceilings and parquet. Many parking spaces in the courtyard.
ref.: 221686
ref.: 290865
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.4
Luxembourg – Spring 2012
Current Offers La a vast fl To let ila oo Type: Office bl rs Area: 1549 sqm e
N
EW
Gasperich / Howald / Leudelange
Div.: 203 sqm Availability: Immediate
New buildings, generous parking allowance, high quality standards, reduced running costs, BREEAM certified. ref.: 205508
To let
To let
Type: Office Area: 610 sqm Div.: N/A Availability: Immediate
Type: Office Area: 554 sqm Div.: N/A Availability: Immediate
This 4-storey building offers bright office spaces with an impressive inner courtyard. A very quiet location close to all amenities.
Recent environmental building, in a calm neighbourhood which makes it a great place to work in. Parking in the courtyard. Close to motorways.
ref.: 288666
ref.: 208267
At
tr Re act nt ive
To let Type: Office Area: 3280 sqm Div.: 1400 sqm Availability: Immediate “This brand new environmental building is located in the commercial and administrative area of Leudelange. The spaces are fully air-conditioned and easy to partition.” ref.: 297284
To let
To let
N
EW
Type: Office Area: 324 sqm Div.: N/A Availability: Immediate
This high standard office building is very well located, and easily partitioned spaces, with possibility to split as of 10sqm.
Type: Office Area: 2549 sqm Div.: 233 sqm Availability: May 2012 Bright and functional office space, divisible from 233sqm, in a modern building of industrial design.
ref.: 288982
ref.: 205166
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.5
Luxembourg – Spring 2012
Current Offers N
To let
EW
Type: Office Area: 461 sqm Div.: 83 sqm Availability: Immediate Bright offices, well finished and partitioned, in a building well situated on the Kirchberg plateau. ref.: 217233
Airport / Kirchberg
To let
To let
Type: Office Area: 489 sqm Div.: N/A Availability: Immediate
EW
Type: Office Area: 2000 sqm Div.: 420 sqm Availability: Contact us
Modern building located in the heart of the business district of Kirchberg, near public transports and shops. Office spaces are of good quality and offer standard services.
Near to Auchan mall, this refurbished building has easyto-fit and air-conditioned spaces. Excellent parking ratio. ref.: 294681
ref.: 208265
To let
N
N
EW
Type: Office Area: 851 sqm Div.: 62 sqm Availability: Immediate Brand new high standard building close to Airport and its amenities. The lettable areas are full of natural light and can be easily partitioned.
ref.: 217333
To let Type: Office Area: 6700 sqm Div.: 229 sqm Availability: Immediate Office floors spread over 3 buildings, with good quality services. Ample parking spaces available in the basement.
To let Type: Office Area: 2502 sqm Div.: 355 sqm Availability: Immediate Recent and modern building close to Luxembourg Airport (Findel) and its amenities. The high standard surfaces are delivered totally furbished. A canteenand fitness center are at the disposal of in-house employees.
ref.: 203043 / 274533 / 203690
ref.: 280965
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.6
Luxembourg – Spring 2012
Current Offers To let
N
EW
Strassen / Capellen / Windhof
Type: Office Area: 834 sqm Div.: 337 sqm Availability: Immediate This 2010 building, located in Capellen presents bright office spaces which are easily divisible. The premises will be let entirely partitioned (glass) and cabled (Cat. 7)
ref.: 279629
To let
To let
Type: Office Area: 2637 sqm Div.: 400 sqm Availability: Immediate
Type: Office Area: 7754 sqm Div.: 255 sqm Availability: Immediate
This HQE certified building is an ideal place to work in. Located on Route d’Arlon, just minutes from downtown Luxembourg, Serenity is spread of four buildings of 2600sqm, each connected by one or more bridges. HQE environmental certification ensures relatively low cost of common expenses.
The West Side Village is spread over 6 buildings and set in a quiet, green surroundings. It offers a safe and pleasant working environment.
ref.: 204944
ref.: 288215 / 288216 / 288219
To let Type: Office Area: 898 sqm Div.: 207 sqm Availability: Immediate A 3-storey building in Bourmicht area. We offer office space on the ground floor conveniently arranged with large open space, two partitioned offices, kitchenette, outdoor parking.
ref.: 220008
To let
To let Type: Office Area: 828 sqm Div.: 265 sqm Availability: Immediate 2 office floors ideally fitted out and partitioned. The spaces are full of natural light and air conditioned. Archive and parking available.
Type: Office Area: 5863 sqm Div.: 172 sqm Availability: Q3 2012 The SolarWind building is focused on ecology and is the first triple-certified project in the world! It spreads over 10,000sqm and offers wide and luminous offices.
ref.: 292283
ref.: 207027
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.7
Luxembourg – Spring 2012
Bertrange
Current Offers
Atrium Business Park Atrium Business Park is the first business centre in Luxembourg combining office space, shops and areas for social gatherTo let ings. Type: Office Area: 20 502 sqm It offers three catering facilities, a fitness Div.: 284asqm centre, day care centre for children and Availability: Immediate building management.
To let Excio: from 558 m2 to 2,266 sqm Extimus: from 284 m2 to 6,044 sqm Vitrum: from 620 m2 to 13,326 sqm
In the Bourmicht area, 3 buildings designed to high standards with good modulation, great parking ratio and Its original and well-designed concept atuseful services for its tenants (creche, restaurants…) tracts tenants with such well-known names
as Citi, Bâloise Assurances, Dexia, Sodexo and AG2R La Mondiale.
ref.: 279649 - 279623 - 278967
ref.: 207027 ref.: 279649 - 279623 - 278967
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.8
Luxembourg – Spring 2012
Current Offers To let Type: Office Area: 1697 sqm Div.: 237 sqm Availability: Immediate Recent building close to the A3 motorways to France. The premises are spread over 7 floors very bright and well soundproofed. Generous parking allowance.
ref.: 221809
Warehouse / Other
To let
To let
Type: Office Area: 245 sqm Div.: N/A Availability: Immediate
Type: Office Area: 1014 sqm Div.: 411 sqm Availability: Immediate
Ideally located between the CBD and the Airport, this building of recent construction presents well-arranged office space which is easily divisible. Archives and parking available.
Comfortable and secure building ideally located in a green environment close to Kirchberg and Airport;easily accessible by public transport.
ref.: 205218
ref.: 278100
To let
To let
Type: Office & Industrial Area: 6500 sqm Div.: 1000 sqm Availability: Immediate
Type: Office & Warehouse Area: 2206 sqm Div.: 112 sqm Availability: Contact us
In Sandweiler and Mensdorf, easily accessible from the airport and motorways, warehouse fully adjustable and available at a very attractive rent.
Within the industrial zone of Livange, close the A3 motorway, several office and warehouse spaces available, in a good state of use. Numerous external parking spaces.
ref.: 205830/206988
ref.: 287704
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.9
Luxembourg – Spring 2012
Key Figures Take-up Q1 2012 / Transactions per activity / Transactions per area • Q1 2012 Take-up (24866sqm) was similar to that of Q1 2011 (25876sqm, although the number of transactions differed (54 in 2012 compared with 34 in 2011).This Take-up is significantly lower than that of Q4 2011, due to the normal pattern of tenants taking decisions in Q1 or Q3 that are acted on in the following quarter. • There was a slight drop in the percentage of “direct” transactions (Landlord to Tenant transactions). In Q1 2012, 12 transactions formed 22% of Take-up, whereas, in Q1 2011, 12 operations contributed 35% of Take-up. In total in 2011, 76 direct transactions constituted 30% of the total Take-up) Evolution Q1 Take - up since 2009 30000 25000 20000 15000 10000 5000 0
2009
2010
2011
2012
• The most dynamic companies on the real estate market are still the Financial sector ones (32%), followed by Services to Companies (30%) and to Consumers (11%). Public Buildings and Works (BTP) (9.3%) and Communications (7%) are also active. Transaction per activity COM TRS INS IND
Transaction per sector
FASHION
LIVANGE
MUNSBACH
CAPELLEN
KIRCHBERG
OTHERS
LIMPERTSBERG STRASSEN AIRPORT
IT & TELECOM BFI
BEAUTY & HEALTH
OTHER CBD LEUDELANGE
BTP STATION
SRV for IND SRV for CIE ESCH WINDHOF
HOWALD
• For Q1 2012—and this is unusual enough to be highlighted—the most dynamic areas are in the close periphery of Luxembourg, but exclude the CBD. Locations like Kirchberg registered no transactions this quarter.
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.10
Luxembourg – Spring 2012
Key Figures Vacancy rate
Vacancy rate
The vacancy rate in Q1 of this year increased slightly to 6.9%, for two reasons:
14% 12% 10% 8%
• There was only one building delivery (Elise 6500sqm in Leudelange) • Second hand office stock volume rose, notably due to some companies moving for more space, usually to new buildings.
6% 4% 2% 0%
1
2
3
4
2009
5
6
7
2010
8
9
10
11
12
2011
13
2012
Rent per sector The average rent decreased by 2€ (now 25.81€/sqm). This is because the biggest transactions registered were made in buildings located in the close periphery of Luxembourg City where the rents are lower: • SEB took 500sqm more in Hesperange (they had initially taken 3464sqm in the same building in the last quarter) • Bonn Schmitt and Partners took 2614sqm in Hesperange as well • Cetrel took 1500sqm in Leudelange
G
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B K
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B
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T LI M
ER
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PO
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H IC A
G
A
SP ER
SS EN
A EL D U
LE
A
E G N
C A SB N U
M
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E R A G
EN PE A
ER B
C
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A
N
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G E
LD W A O H
H
A
M
M
N TE R O N C
€
44 40 36 32 28 24 20 16 12
The CBD remains an attractive area, even though the rents are the highest (30€/sqm for modern buildings and40€ for brand new ones). • Baker and Mc Kenzie took 1828sqm in Boulevard Roosevelt. • Rapego took 2200sqm in the Stargate building.
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.11
Luxembourg – Spring 2012
Feature AV AI
LA
BL
E
RealCorp is pleased to offer to let this attractive CBD office building.
32-34 Boulevard Grande Duchesse Charlotte This independent building has original architecture typical of German architect Harald Deilmann work. Deilmann is known for his work on public buildings, including opera houses and museums. The property makes a refreshing modern statement in the surrounding cityscape. Each floor has a different configuration, with convenient options for various office arrangements, as in the layout for the first floor in the example below. Terraces on the second floor, and balconies all around the building on every floor, offer opportunities for fresh air and views for all occupants. The lower levels present several areas for Archives and undercover parking. The building has two external visitors’ car parking spaces.
The Location The building is conveniently located in the heart of the Luxembourg CBD, close to the Embassies area and in the vicinity of such major companies as Edmond de Rothschild Private Bank, Thomson Reuters, Orangefield Trust and Kramer Clifford Chance. Parking is available at the building for staff and visitors. It is 2.5km from the motorways and 16km from the Airport. The building can also be reached by public transport. It is approximately150m from the Wampach bus stop (bus line 15) and 1km from the train station. Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.12
Luxembourg – Spring 2012
Feature Floor
Type
Sqm
3
Offices
223
2
Offices
324
1
Offices
455.22
Ground
Offices
525
-1
Offices
589.6
-1
Archives
118.2
-2
Parking
16 spaces
-2
Archives
144.9
-3
Parking
14 spaces
-3
Archives
143.5
Exterior
Parking
2 spaces
Total
2523
Technical Specifications • Elevators • Air conditioning • Double glazing • Opening windows • Existing wiring • Reception in the lobby of the building • Floor boxes • False ceiling • Visitor parking outside the building • Uninterrupted Power Supply provided by No Break diesel
Have a project, need advice or simply wish to visit ? Contact us
Tehdi-Edouard Babigeon
Jennifer Venne
Aurélie Vanaudenhoven
Head of letting & sales
Agency & research
Account manager
tebabigeon@realcorp.lu tel: +352 26 27 29 22 (Direct)
jvenne@realcorp.lu Tel: +352 26 27 29 34 (Direct)
avanaudenhoven@realcorp.lu Tel: +352 26 27 29 24 (Direct)
Non-contractual document
22, Avenue Monterey, L-2163 Luxembourg, Tel: +352 26 27 29
www.rea lcorp .lu p.13