Nextensa Sells Mercator-High5! Office Building to Centre Hospitalier de Luxembourg for €43.5 Million

Nextensa NV announced Oct. 29 that it has sold the Mercator-High5! office building on Route d'Arlon in Luxembourg City to Centre Hospitalier de Luxembourg (CHL), which already occupied the property as a tenant and now becomes its owner. The sale price is €43.5 million, net to the seller.

Mercator-High5! Sale Details

The building, also known as HIGH 5, is located at 110–112 Route d'Arlon in Luxembourg City and has a total surface area of approximately 8,650 square meters, or about 93,100 square feet. The €43.5 million price implies approximately €5,029 per square meter, or about €467 per square foot.

Nextensa said the asset was acquired in 2017 by Leasinvest Immo Lux Sicav-FIIS, now Nextensa. The office building has undergone renovation and modernization works in recent years, according to the company. The Grand Duchy of Luxembourg is also among the building's long-standing tenants.

Because the buyer is the building's existing occupier, the transaction is an owner-occupier sale. The structure gives Centre Hospitalier de Luxembourg ownership of a facility it already occupies, while Nextensa realizes proceeds from the asset without a conventional investment-market sale process.

Nextensa Portfolio Strategy

Nextensa said the disposal is in line with its strategy to actively optimize and enhance the value of its real estate portfolio while further strengthening its financial flexibility.

The company describes itself as a mixed real estate investor and developer. Its investment portfolio is split between Luxembourg (31%), Belgium (54%) and Austria (15%), with a total value of approximately €1.1 billion as of June 30, 2026. Nextensa's half-year investor materials reported portfolio fair value declining from approximately €1.09 billion to €1.06 billion. The €43.5 million sale equates to roughly 4% of that reported portfolio value, though the comparison does not measure profit.

As a developer, Nextensa is active in large urban developments, including Tour & Taxis in Brussels, a development of more than 350,000 square meters, and Cloche d'Or in Luxembourg, a partnership-based urban extension of more than 400,000 square meters comprising offices, retail and residential buildings. The company is listed on Euronext Brussels and had a market capitalization of €462 million as of June 30, 2026.

The sale follows other Nextensa disposals in Luxembourg. Investment activity in the country in 2025 included only two transactions totaling €188 million, both involving Nextensa disposals, including the sale of the Batiself complex in Ingeldorf to the Luxembourg State.

Luxembourg Office Market Context

The sale comes as Luxembourg's office market shows a split between weak occupier demand and tight availability. Office take-up fell roughly 50% to 51,789 square meters in the first half of 2026, while average deal size declined from 1,035 square meters during 2021–2025 to 602 square meters. Vacancy stood at 3.6% at the end of June 2026, compared with 3.9% at the end of 2025 and approximately 9.5% for the broader European market.

Prime rents have held up despite slower leasing. JLL reported prime rents of approximately €43 per square meter per month in Cloche d'Or, the Station district and Kirchberg, with Cloche d'Or rents up 4.9% year over year. Cushman & Wakefield reported prime rents as high as €44 per square meter per month in the Station district, €43 in Kirchberg and €35 in decentralized locations.

Investment liquidity has been more constrained. Luxembourg office investment volume totaled €292 million in the first half of 2026, down 49% year over year. Cushman & Wakefield reported prime yields of approximately 4.90% in the central business district and 4.60% for long-term prime assets. JLL described 2026 as a historically weak investment year, with own-use purchases providing some support.

Market Implications

Against that backdrop, the Mercator-High5! sale illustrates how owner-occupier purchases can contribute to transaction volume while conventional office investment remains subdued. For Nextensa, the sale converts an office asset into liquidity; for Centre Hospitalier de Luxembourg, it secures ownership of a modernized building it already occupies.

Michel Van Geyte, chief executive officer of Nextensa, is listed as the contact for further information on the transaction.

Sources

• Nextensa press release (English), Oct. 29, 2026: https://www.globenewswire.com/news-release/2026/10/29/3390927/0/en/nextensa-sells-mercator-high5-building.html
• Nextensa press release (French), Oct. 29, 2026: https://www.globenewswire.com/news-release/2026/10/29/3390927/0/fr/nextensa-c%C3%A8de-l-immeuble-mercator-high5.html