EPP's Polish portfolio grows to include Poznan
JSE-listed EPP announced the completion of its acquisition of the King Cross Marcelin Shopping Centre. The €91.1 million acquisition is EPP’s first entry into Poznan and brings the company’s portfolio to 19 retail projects. The purchase marks a successful venture in EPP’s overall strategy of becoming the dominant owner of retail properties in the most lucrative markets in Poland.
“We’ve had our eye on Poznan because it stands out as one of the strongest consumer markets in the country,” said Hadley Dean, CEO of EPP. “Poland continues to prove itself an economic powerhouse in Europe, and even within that context, Poznan is remarkable.”
Poznan’s GDP is second only to Warsaw. Purchasing power per capita in the city is 37 percent higher than the rest of the country, and it’s unemployment rate is one of the lowest in the country at 1.5 percent.
The larger area around Poznan is the third most populous voivodship (province) in Poland. More than half a million people live in the city, while the larger Poznan Metropolitan Area is home to nearly 833,000 people.
“Poznan will give us access to hundreds of thousands of Polish shoppers and Marcelin is ideally suited to cater to their needs. We look forward to providing them with a great experience,” Dean added.
King Cross Marcelin is the major shopping destination in western Poznan with an immediate catchment of over 202,000 people living within a 15 minutes’ drive, and directly adjacent to the property, the Business Garden Poznan business park is currently under construction which will attract an additional 12,000 people daily to the catchment area.
“While Poznan has several modern shopping centres, Marcelin is dominant in its catchment with great growth potential. The development of the Business Garden Office Park should increase the footfall in the centre by 10 percent once completed. This, combined with the extension opportunities, means EPP can unlock exceptional value from this project,” Dean said.
The 45,353 sqm centre is already 99 percent let to popular international and national retailers including Media Markt, H&M, Intersport, CCC and McDonald’s.