HSO Fund invests in Sion
The Helvetica Swiss Opportunity Fund (HSO Fund) is acquiring a retail property in the centre of Sion (VS) with a market value of CHF 42 million.
According to Helvetica, HSO Fund will acquire the condominium property on 1 December 2020, with retroactive effect from 1 January of that year. The centre property with around 10,500 sqm of rental space is fully let to a "renowned traditional Swiss company" under a ten-year lease agreement.
The Swiss department store group has long used the building as a location for food sales, a department store and a restaurant. The property also includes a parking garage with 219 parking spaces, which is also fully leased to the department store group.
According to Helvetica, the acquisition will increase the portfolio value of the HSO Fund to around 108 million, while the annual target rental income will rise to around 6.4 million. The fund management company is also planning to acquire additional properties in order to further diversify the portfolio geographically and increase the fund's earnings potential. (ah)
