We helped the INVESTIKA real estate fund successfully acquire the Technology Center Písek (TCP). TCP includes one of the most modern data centres in the Czech Republic, occupying about a quarter of the whole complex. The rest of the reconstructed building consists of office space.
The DELTA legal team provided comprehensive legal advice on the acquisition. The transaction was a sale-and-leaseback, which allows the seller to use the funds originally allocated in the ownership of the property for its future development or for the development of its core business, which is the provision of data centre services. In addition to legal due diligence and preparation of transaction documentation, we also advised on the financing of the transaction and the conclusion of a long-term lease with the original owner (currently the largest tenant). Our work included the structuring and negotiation of an extensive security package ensuring INVESTIKA a stable income from the concluded lease agreement.
TCP was created by rebuilding the former Žižkov barracks in Písek. The data centre operated by the original owner of the property is one of the leading providers of modern communication and information services. TCP’s offering of data centre services includes solutions for industry 4.0, Virtual Private Cloud or the Internet of Things. The administrative premises of the complex are used by other tenants.
“We very much appreciate the experience of advising INVESTIKA, investiční společnost a.s.,” said DELTA legal partner Pavel Fára. “Although this is not our first project together, each new transaction brings different challenges and we are delighted to provide legal support to the client in solving them. It was the client’s emphasis on diversifying the fund’s portfolio that was key to choosing the property. We believe that the business met the expectations of the seller and INVESTIKA, which will benefit from it in the long run. Thanks to all those who participated in this unique transaction for their maximum commitment and precise work, which enabled its smooth and quick completion.”
After the acquisition, INVESTIKA’s portfolio now consists of 23 properties and the fund capital is almost CZK 6 billion. The diversification of assets contributes to the long-term stability of the fund. The fund entered the Czech market in 2015 and has been growing continuously, with returns regularly exceeding 5%. DELTA legal previously advised INVESTIKA on the acquisition of a portfolio of regional office buildings with ČSOB as the anchor tenant, the Business Centre Bohemia office building in Pilsen and the logistics portfolio of C.S.CARGO.