Pangea Property Partners opens London office to boost international presence
Pangea Property Partners today announced the opening of a London office in response to increased interest in the Nordic property market, adding to offices in Stockholm and Oslo.
“We open the London office because our contacts here have expressed a clear desire to meet face to face with the people who have the in- timate market knowledge and transaction experience they seek,” said Bård Bjølgerud, CEO and Partner at Pangea Property Partners, the leading corporate finance and advisory firm focusing on the property sector in the Nordic region and the Baltics.
Over the past years, international interest in the Nordic commercial property market has increased significantly. Transaction volumes reached €17 billion in the first half of 2015, according to figures from Pangea Property Partners. This was an increase of 55 percent from the same period last year. As the second half is normally more active, full year volumes are expected to reach €35 to 40 billion.
Pangea Property Partners has played a key role, for instance advising Starwood Capital Group and Citycon as buyers in two of the top three Nordic transactions of the past year. In 2014 and 2015, Pangea Property Partners has advised on more than 70 transactions with an underlying property value above €6 billion.
In 2013 and 2014 the Nordics accounted for almost 14 percent of the total European transaction volume. The proportion is expected to increase significantly in 2015 and may approach 20 percent.
The increase is primarily driven by international investors. Over the past 12 months, 33 percent of the transaction volume in the region involved a cross-border investment, and the proportion is rising. International investors are attracted to politically and financially stable countries, transparent and liquid markets, a broad range of quality real estate opportunities, and pricing that is competitive compared to major metropolitan markets.
Pangea Property Partners has identified more than 150 London-based institutional investors with mandates that include Nordic real estate. These represent assets under management of approximately €200 billion.
”Opening the London office is a strategic move. We think the increase in cross-border transactions is a lasting trend, and our presence in London will build on the trust and confidence investors have already placed in us. Our key people will invest substantial time and effort to ensure the success of this initiative. While the key objective is to serve international investors even better, we will also become an even stronger partner for Nordic clients as our capacity for international execution increases”, said Mr. Bjølgerud.
The London office will be operational from the beginning of October and is centrally located in the Mayfair district (see attached map). Regular meetings and events will be hosted in order to provide current and potential clients with valuable insight into the property markets in the Nordics and Baltics.