The Belgrade office of the US-based real estate consultancy company CBRE has successfully advised MID Group on the sale of five retail parks in Slovenia and Croatia to Austrian real estate company IMMOFINANZ, for a total of just under 50 million EUR.
The deal includes three retail parks in Slovenia and two retail parks in Croatia. After the transactions close, the retail parks will be re-branded in line with IMMOFINANZ’s STOP SHOP retail park concept.
The retail parks in Slovenia in total have a rentable space of approximately 22,000 sqm and are located in the towns Maribor, Krsko, and Ptuj.
The two retail parks in Croatia are located in Osijek and Valpovo and have nearly 13,500 of rentable space in total.
The deal coincides with IMMOFINANZ’s recent acquisition of three retail parks in Serbia (Subotica, Borča, and Smederevo), which the company took over from the Serbian developer MPC Properties.
A SUCCESSFUL TRANSACTION
MID Group, an Austrian-based company that conducts real estate development activities across Slovenia, Croatia, Italy, Slovakia and Hungary, instructed CBRE in mid-2018 to dispose of the retail assets in Croatia and Slovenia.
Uroš Grujić from CBRE who handled the sale on behalf of MID Group commented:
“This deal is further proof of the increase in investor interest in the region, and we are proud to have advised MID on such a groundbreaking cross border deal. Both Slovenia and Croatia are very important markets for CBRE. Slovenia, in particular, has witnessed a lot of investment activity over the past 12 months, whereas in Ljubljana alone this year we have sold four prime office buildings. We expect more deals in both markets to close in Q4 of 2018 and Q1 of 2019.”
With these acquisitions, IMMOFINANZ will increase its STOP SHOP portfolio to 80 locations in nine countries with over 567,000 sqm of rentable space and a carrying amount of approximately 800 million EUR.
The acquired properties have an attractive tenant mix which includes anchor tenants such as Deichmann, H&M, C&A, Takko, KiK and JYSK.
“These acquisitions strengthen our position as the leading European retail park operator. With the acquisition in Croatia, we have entered into a new EU retail market which is very attractive for our international tenants. Good locations, excellent track records, favorable local competitive situations, and a classical, sound tenant mix are the distinctive features of these attractive investment opportunities. In addition, the returns that can be realized in these markets speak for themselves“, stated Dietmar Reindl, COO of IMMOFINANZ.
He added that the company’s goal is to increase the number of STOP SHOPs to over 100, through further acquisitions as well as through their own development projects.
In Slovenia, IMMOFINANZ now operates a retail park portfolio of nine locations, with 52,300 sqm of rentable space. The company’s STOP SHOP portfolio in Serbia also encompasses nine properties that have 83,600 sqm of rentable space.