Atlas Estates has teamed up with property fund EDR Real Estate to target central and eastern European residential development opportunities.
The partners have also announced their maiden acquisition of a residential development site in
Residential projects that provide development margins and IRR in excess of 20% will be targeted by the partners.
The parties will invest 50% each into projects with Atlas developing and managing the project before splitting the profits on a 50:50 basis.
The
Although the plot has an approved zoning for an office building Atlas has submitted an application for a change of zoning to residential.
Quentin Spicer, chairman of Atlas Estates said: “This joint venture agreement with EDR is the first step for Atlas as part of a strategy to team up with major institutions operating in the CEE region and is a positive move for Atlas.
Amos Pickel, CEO of Atlas Management Company, said: “This partnership allows us to leverage the development capabilities of Atlas Management Company for the benefit of AEL.
“We will access more and larger projects with a guaranteed minimum return to Atlas from the development management fees received, in addition to sharing the profits from each venture.
“The partnership will allow Atlas to spread its equity over a greater number of opportunities within the region.”
