Investments Abroad: AIB Capital Markets has acquired another office investment in Budapest, bringing the total spend in recent weeks to €70 million. The offices have a combined floor area of 34,000 sq m (365,972 sq ft) and will show a yield of about 9.5 per cent.

The blended office price per sq m works at €2,050 (€190 per sq ft). The two properties, Obuda Gate and East West Business Centre, have a mixture of over 85 per cent international tenants, including Ford, Sony, Reuters and L'Oriel.

The €400 million Polinia Property Fund is one of the largest in the region. It is largely targeted at Poland but up to 20 per cent of the cash can be invested in Hungary and the Czech Republic. It has €100 million in equity, much of which comes from Irish investors and the balance from European investors. AIB Capital Market has committed €10 million to the fund.

Pat Cunneen, chief executive of the Fund Investment Manager, a strategic development in AIB's asset management business in Europe, said they were pleased at the early acquisitions on the eve of the target economies' accession to the European Union. "The properties give an excellent yield and represent a price per square metre significantly lower than those prevailing in Western Europe. The price, location, tenant quality and expectations of the growth from EU accession bode well for the investor's return," he said.