JLL advises Atrium in the disposal of Polish retail portfolio
JLL's Retail Investment Team advised Atrium European Real Estate Limited in the disposal process of two Polish shopping centres, namely Atrium Felicity and Atrium Koszalin to funds ECE European Prime Shopping Centre Fund II, managed by the independent fund managing company ECE Real Estate Partners.
The parties signed an agreement concerning the sale of both assets for €298 million, representing around 3 percent premium to book value as at 31 March 2019. The transaction is subject to the fulfilment of certain conditions precedent and is expected to be completed in the third quarter of 2019.
Both centres are described as market leaders in their catchment areas and strong performers. Atrium Felicity offers around 77,000 sqm of retail space (total GLA in Atrium ownership of 57,200 sqm excludes Auchan) located in Lublin, a major administrative centre in the Lubelskie voivodship, and a growing academic and back office centre in south eastern Poland, with a population exceeding 340,000 inhabitants. Opened in March 2014, the center is heralded as the fashion destination of the town with anchor tenants including Zara, H&M and Reserved built around an Auchan Hypermarket and a Leroy Merlin DIY store accompanied by extensive food court and entertainment anchored by Cinema City.
Atrium Koszalin features 57,300 sqm of retail space and has been trading for over 10 years now. Located in Koszalin, a city in north western Poland. The centre is anchored by a Tesco hypermarket, Castorama DIY store, and an extensive leisure element, including Multikino as well as leading fashion retailers. Atrium Koszalin serves a catchment area of around 250,000 inhabitants.
“We would like to congratulate Atrium on the disposal of such significant portfolio further enhancing Atrium’s position as most active investor in the retail sector both on acquisition and the disposition side. We would also like to congratulate ECE addition of two assets with such strong fundamentals that shall enrich the overall ECE Polish portfolio,” said Agata Sekuła, Head of Retail Investment CEE, JLL.