EUROPE 鈥� The Capella office building in Glasgow has been purchased by Invesco Real Estate (IRE) for German institutional investors.
The 11-storey building with a rental space of 10,710sqm has been sold by the pension fund of British Airways for around 拢43m (鈧�52m) in an off-market transaction.
The property was bought for closed-end Invesco Real Estate-UK III fund, which is closed for further investments.
Tobias Simon, director of fund management at IRE, said Glasgow was 鈥渁 strong regional office market in Great Britain鈥�, and that Capella was 鈥渙ne of the best grade-A office buildings鈥� in the city.
The steel and glass tower has long-term tenants including Glasgow City Council, CapQuest, ATOS and MacRoberts.
According to Ernst & Young鈥檚 latest real estate barometer, the risk appetite among investors across Europe is on the rise.
The researchers expect cross-border transactions to increase and deal volumes on the whole to rise.
In a statement, it said: 鈥淚n Central and Eastern Europe, investors are looking mainly into residential properties, while in Western and Southern Europe they show higher interest in office properties.鈥�
Retail properties are less sought after, as European investors believe in a strengthening of the e-commerce trend, Ernst & Young said.
