ONE20 building fully let; EPRA vacancy rate at year-end 2020 below 7.5%
NSI N.V. has agreed several new leases in recent months for its ONE20 office building in Amsterdam Sloterdijk, as a result the building is fully let per 1 December 2020. NSI acquired the 9,743 sqm building in March 2020 with - at the time - 31% vacancy and so has successfully leased the building within a nine month period, in line with the underwriting budget at the time of acquisition.
Since its acquisition NSI has renovated all the vacant areas and introduced a ground floor reception area and coffee bar. The building is now let to five tenants. As a result of the new leases the WAULT has increased to 6.5 years, up from 4.0 years at the time of acquisition. The ‘yield on cost‘ has increased from 3.5% at the time of acquisition to now 5.6%.
Prospective year-end vacancy
Including the new leases at ONE20 and other new leases signed in recent months the overall EPRA vacancy rate is likely to fall to below 7.5% at year-end, down from 8.2% at the end of Q3. Whilst the vacancy rate will be marginally up from 7.1% at the end of 2019, on a like-for-like basis the vacancy rate is down by approximately -0.3%, which is an excellent result during a period that has been dominated by the coronavirus and is testament to the strength of our portfolio and the team which has made this happen.
NSI will publish its 2020 preliminary results on Tuesday 26 January 2021 at 7am local time.