Echo Polska Properties acquires four retail assets for €166,6 million

Posted On Wednesday, 01 February 2017 22:49 Published by
Rate this item
(0 votes)

Echo Polska Properties NV (EPP) today announced the conclusion of a preliminary agreement to acquire four retail assets located across Poland from real estate funds managed by Blackstone.

Hadley_Dean

The acquisition encompasses the 23 039m² Galeria Twierdza Shopping Centre in Kłodzko as well as the adjacent plot with a Broaster Chicken Drive restaurant. The other three malls are Galeria Twierdza Shopping Centre in Zamość (23 785m²), Galeria Tęcza Shopping Centre in Kalisz (16 003m²) and Wzorcownia Shopping Centre in Włocławek (25 629m²). The established centres have been operational since 2009 (Wzorcownia  and Twierdza Kłodzko) and 2011 (Twierdza Zamość and Galeria Tęcza), respectively, and boast a diverse tenant mix with anchor tenants across the four assets including LLP Group, H&M, Rossman, Carrefour and Cinema 3D.

EPP will acquire 100% of the equity in Kłodzko Retail LLC, Zamość Retail LLC, Kalisz Retail LLC and Włoclawek Retail LLC.

CEO Hadley Dean says: “These shopping centres are dominant within their catchment area and represent a strategic fit in our retail long-term ownership.”  Twierdza Kłodzko and Wzorcownia are the only large modern retail properties in their respective cities. “EPP is fortunate to already own a portfolio of strong retail and office properties across Poland and the acquisition of these four shopping centres in regional cities is a part of our ongoing strategy to build the company into a ‘national champion’ while delivering double digit growth in dividend per share per annum.”

All four of the shopping centres have easy access by road and public transport with three of them located in the city centre and are located in cities which are commercial, tourist or industrial hubs with populations ranging from 175 000 to 360 000. The acquisitions mark EPP’s entry into Kłodzko and Zamość. In Kalisz, the company already owns Galeria Amber shopping centre.

The four shopping centres have been managed by Multi Poland since 2014. Multi Poland is part of Multi Corporation, a leading owner, manager and developer of shopping centres in Europe and Turkey.

Barbara Topolska, Managing Director Multi Poland, says :“I am glad that our investor was able to complete the successful sale of these four assets, and exit from this investment.  Over the almost three years that these properties were under the asset and property management of Multi, they have noted a significant improvement in tenant-mix, cost efficiency, and overall performance. We are satisfied that the buyer will soon take over four assets that operate at the highest possible market standards.”

This acquisition boosts EPP’s portfolio with another four regionally dominant shopping centres. 

The acquisition remains conditional on competition clearance and the issuance of an insurance policy in favour of EPP. The transaction is expected to close in April 2017.

Colliers International and Linklaters were acting as commercial and legal advisor for EPP whereas JLL and Greenberg Traurig were acting as commercial and legal advisors of the seller.

Last modified on Thursday, 02 February 2017 22:56
" "

Most Popular

Equites Property Fund to list on A2X

Jun 25, 2019
ANDREA TARVENA
Equites Property Fund Limited has been approved for a secondary listing on A2X Markets…

McCormick Property Development Celebrates the Opening of Katale Square

Jun 29, 2019
 JASON MCCORMICK
McCormick Property Development celebrated the launch of its 66th development with the…

New standard bank deal will make it easier for self-employed professionals to qualify for the mortgage bonds

Jul 03, 2019
 STANDARD BANK
Ever since the tightening of credit rulings in the South African economy which followed…

Hyprop reduces exposure to Africa and provides pre-close update

Jun 29, 2019
MORNE WILKEN
JSE specialist shopping centre REIT, Hyprop, today announced progress on its strategy…

Twin City to develop new R230m mall in Vryburg, North West

Jul 10, 2019
 TWIN CITY
The North West agricultural town of Vryburg is set to get its first enclosed shopping…

Please publish modules in offcanvas position.