The sale represents the second major disposal by SEBRE and follows-on from the sale of Palác Špork earlier this year. The DRN divestment again restates the company’s leading reputation delivering execptional quality assets which are design-driven, yet historically and culturally-sensitive. DRN followed by Palác Špork, reflect the two most valuable office investment transactions ever recorded in the Czech Republic and wider CEE region. SEBRE shall operate the property (as property manager) for KGAL, a leading German-based investment and asset management company with investment volume under management of 21 billion Euros.
SEBRE was advised by Savills and Dentons on the sale.
Designed by Stanislav Fiala, the building is one of the gems of modern, sustainable architecture in Prague, incorporating parts of the original Schönkirchovský Palace from 1734 with an interconnecting New Palace to deliver outstanding quality office accommodation with modern gastronomy and amenity offerings. The premises, extending to approximately 12,500 sqm will host the first Czech operation of WeWork.
Jan Kubíček, SEBRE’s CEO, commented: "Although we are satisifed with the sale price achieved, this disposal leaves us with mixed feelings – after working on DRN for six years, our SEBRE team had grown attached to both of these beautiful buildings, and the contrasts we achieved of contemporary counterposed with the living history that is Prague. Nonetheless, we congratulate KGAL on their acquisition and shall now move on to our next projects in Prague and Belgrade, hoping to apply the experience we have learned on DRN."
Savills investment team consisted of Stuart Jordan, Fraser Watson and Vojtěch Wolf.
DRN – A Building that surpasses expectations
Drn represents a simply outstanding quality, iconic, and sensitively developed multifunctional building consisting of a restored baroque-renaissance palace from 1734, juxtaposed with a 2018 constructed eight storey, premium office building. Old and new connect on each floor up to the sixth above ground level, promoting the flow of occupants between the restored palace and state-of-the-art new construction.
Drn conforms to all modern technical specifications expected of European Grade A office and retail assets. The developer had the highest regard for detail in terms of mechanical and engineering installations, security and all-round occupier and user experience.