SWIM Team Advises on Acquisition of Land for Livesport Headquarters

When Svoboda & Williams was hired by Livesport to search out a property suitable for acquisition, it provided its client with a list of cca 20 properties. Upon shortlisting the properties that best suited the client's requirements, SWIM started negotiations with the owners of the selected properties. In the end Livesport decided to buy land situated by the Nové Butovice metro station alongside the Radlická radiála expressway from the CTP commercial real estate developer. SWIM assisted its client with the whole acquisition process as well as with the selection of suitable due diligence partners.

According to Michael Hynšt from the SWIM team, the transaction confirms a general trend of many, mainly Czech companies aiming to buy their own headquarters. “We currently have multiple similar requests and we believe that this trend will grow. At present there are many companies that have accumulated considerable funds and are looking for the best ways to further invest them. It is the case of mainly Czech companies that want to keep doing business in this country and they wish to – instead of leasing – valorize their funds by buying a property,” says Hynšt. The trend is, according to Brent Watkins from the SWIM team, further supported by the availability of low financing rates in today's market.

The reasons why companies consider buying their own headquarters are varied. “Apart from it being a good investment, by acquiring their own headquarters companies often hope to gain in brand visibility and prestige as well as to consolidate their segments, gain better control over their real estate needs and/or to get hold of a strategic location. The last point applies mainly to retail companies which often consider buying office buildings to house their stores in combination with their offices,” explains Hynšt.

Livesport s.r.o. focuses on the development of websites and applications providing up-to-date information from altogether 31 sports. This Czech company has been quickly expanding worldwide during the last few years and its websites are currently used by more than 57 million people.