AEW buys Polish centre for €92m

An opportunity fund, European Property Investors Special Opportunities, has bought a completed centre with expansion plans in Slupsk

European Property Investors Special Opportunities (EPISO), a fund co-advised by AEW Europe and Tristan Capital Partners, has bought a core asset with development plans for €92 million in the Polish city, Slupsk.

The fund has bought the 22,250 square metre Jantar Shopping Centre from Mayland Real Estate, which developed it in 2008.

Under the terms of the deal, a development management agreement has been entered into with Mayland Real Estate to double the size of the centre to 45,750 square metres by 2012 at which time it will be the third-largest regionally dominant retail scheme in northern Poland. Mayland will provide ongoing property management services.

The Jantar Shopping Centre is currently 100 percent eased to tenants that include a Real hypermarket, H&M, KappAhl, Deichmann, Empik, Smyk and RTV Euro AGD. Multikino, Zara, Pull & Bear, Bershka, Stradivarius, Reserved, Cropp, New Yorker are among others that have pre-let space in the planned extension.

Ric Lewis, chief executive of Tristan Capital Partners, called Mayland one of the top retail developers in Central Europe.

Daniel Harris, investment director of AEW Europe, added in the statement that the fund had purchased a core retail asset with an excellent trading history. He said the deal provided EPISO the ability to fund a largely pre-let extension which, at completion, would make Jantar regionally dominant.