Galeria Młociny sold for €104.5 million
Galeria Młociny, Master Management Group’s flagship retail project situated in a prime location in Warsaw’s Bielany district, has been purchased by Echo Polska Properties and Echo Investment S.A. for a total sum of €104.5 million (€42 million net). The modern retail and entertainment complex is currently under construction and upon completion will offer 70,000 sqm GLA.
“We are proud to announce the successful sale of Galeria Młociny to Echo Polska Properties and Echo Investment S.A. Master Management Group had a vision of a prime retail complex in harmony with its surroundings and unique leisure features. Thanks to the commitment of our team we have delivered an outstanding and profitable project to the market and gained the trust of major retail chains,” said Paul Kusmierz, CEO of MMGM.
“The acquisition of Galeria Młociny is in line with our stated strategy of investing in quality retail assets in strategic locations. Warsaw is underserved per 1,000 inhabitant in terms of retail compared to other regional Polish cities. It is worth emphasizing that Galeria Młociny is located in a strategic transport hub, which includes tram terminals, bus stops and an underground station. Młociny is a district which has been systematically gaining new residential estates,” said Hadley Dean, CEO of Echo Polska Properties.
Galeria Młociny was publicly presented for the first time at MAPIC in 2014 and obtained a building permit in 2015 while construction began in September 2016. The leasing team, led by Michał Masztakowski, has already commercialized 60 percent of the available GLA and has secured anchor tenants such as the Intermarché supermarket, which will have its Warsaw debut in Galeria Młociny. The fashion segment has attracted Zara and Inditex brands, H&M, VAN GRAAF, C&A and others. There will be an RTV EURO AGD store, while the leisure and entertainment segment will offer a nine-screen CINEMA3D and a Calypso Fitness Club.
“In line with our long-term strategy, the sale of Galeria Młociny is a gateway to new opportunities on the Polish market,” added Paul Kusmierz. “We strongly believe in the retail potential of a number of projects situated around the country and will soon be announcing news regarding our portfolio.”
“Galeria Młociny is another important step towards strengthening our position as a leading developer in the retail sector and Echo’s experience in this division of the real estate business,” said Nicklas Lindberg, CEO Echo Investment.