Europa Capital acquires Forum Steglitz shopping centre, Berlin, for €70 million
Wednesday, May, 13, 2009
Europa Capital LLP, the pan-European real estate fund manager, is pleased to announce it has agreed to acquire the Forum Steglitz shopping centre on Schlossstrasse in Berlin for its new Europa Fund III from Hammerson plc, the European REIT.
Schlossstrasse is one of the two established shopping locations in Germany's capital. The 32,600 sq metres Forum Steglitz shopping centre, one of the best known, was constructed in 1970 and comprehensively refurbished by Hammerson between 2005 and 2007. Anchored by a number of well known retailers including Hennes & Mauritz, Quelle, Karstadt Sport, Lidl, and Esprit and its longest standing tenant Spiele Max, the centre has also recently been enhanced by the arrival of one of Berlin's biggest fitness clubs managed by local operator SuperFit.
Europa Capital has agreed to pay approximately €70 million, representing a net initial yield of 8%. The acquisition has been facilitated by a €47 million loan provided by a German bank. Vacancy within the centre currently stands at around 17% of the floor space. Europa Capital plans to enhance the tenant mix through new lettings, and to implement a series of value-creating initiatives.
Nic Fox, Director of Europa Capital with responsibility for acquisitions in Middle Europe, which includes Germany and France, commented: 'We have adopted a very cautious acquisition strategy since closing Europa Fund III with Forum Steglitz representing our first acquisition for the fund. Forum Steglitz is a well-known retail landmark, is occupied by robust retailers and contains significant further potential to enhance value over time.”
For further information/photographs, please contact:
Gordon Simpson, Finsbury PR +44 20 7251 3801
Charles Graham, Europa Capital LLP +44 20 7881 6800
Morgan Bone, Hammerson +44 20 7887 1009
Notes to editors:
About Europa
Europa Capital is an independent real estate fund management group operating from offices across Europe. Since 1995, Europa Capital’s principals have collectively raised 6 real estate funds and committed to over 60 transactions totalling in excess of €5.0 billion across 17 European countries.
The Steglitz Shopping Centre is an investment by Europa Fund III, Europa Capital’s third pan-European fund. Europa Capital closed two new investment funds for European property investment in 2008: Europa Fund III and Europa Emerging Europe which invests in Eastern Europe. Together, these funds give Europa Capital €895m of additional equity to invest.
The Europa Funds benefit from Europa Capital’s network of exclusive Country Partners, who co-invest in acquisitions made by the Europa Funds in their territory. Many of the Country Partners have worked closely with the Principals of Europa Capital during the last 20 years. Further information can be found at www.europacapital.com.
Europa Capital Partners Ltd and Europa Capital LLP are authorised and regulated by the Financial Services Authority.
For further press information please contact:
Finsbury PR on +44 (0) 20 7251 3801
