Standard Life Investments Wednesday announced it had completed the acquisition of two additional investments in Brazil. The company said it had made the two acquisitions on behalf of its Select Property Fund and would undertake them at about 110 million Brazilian reals. Standard Life Investments said the two acquisitions, made up of two prime holdings now gives the Select Property Funds about 48% of its portfolio allocated to direct commercial property markets around the world.

The company acquired the refurbished Bela Paulista Building located on the 2421 Avenue Paulista in Sao Paolo. The building is considered one of the foremost prestigious office buildings in the Sao Paolo state. It comes as the company’s latest real estate acquisition in the country after a string of other investments to bolster its position. The company said it acquired the building at 54.5 million Brazilian reals, and the property has a cumulative area of about 6,542 square meters that can be let with retail space at ground and mezzanine levels.

Additionally, the building has 14 floors of office space above. As it is, the office tower is almost complete from the mega refurbishments it has been undergoing and according to the firm; letting is going on currently with more than half of the floor space already let. Standard Life Investments said the acquisition marks a revisionary income yield of 12.1 per cent.

The company’s second Brazilian acquisition is the Madison Building that is found in Vila Olimpia, in Sao Paolo as well and has six floors, with about 1,500 square floor plate and some 8,432 square meters of space that can be let. Standard Life acquired the building for an estimated 52 million reals, which marks a net reversionary yield of about 11.2%. It has also been let already to Brazilian domestic firms. The company began its Brazilian venture with the acquisition of the Alana II Building last year for an estimated 15 million reals. This property is also in Sao Paolo.

Standard Life Investments plc is a major asset managing company headquartered in Edinburgh, Scotland and operates across the globe. Formerly a mutual society, since 10 July 2006, the company has been listed on the London Stock Exchange. It is a constituent of the FTSE 100 Index and was founded in 1825. Standard Life provides life assurance and pensions, investment management, banking and healthcare insurance products to over 6 million customers worldwide.

4 Aug 2010