The CBRE European Shopping Centre Fund (“ESCF”), managed by CBRE Global Investors has acquired the Galeria Mazovia Shopping Centre, Płock, Poland at a yield of 7.9 percent. The vendor was a private investor. The 28,485 sqm shopping centre, located on a major arterial route within Płock, was built in 2010.
The modern scheme has underground parking for circa 670 cars and comprises two floors of retail, which is 99 percent occupied to a high proportion of international retailers (50 percent) including H&M, Zara, Bershka, Media Markt, Deichmann and New Yorker. Galeria Mazovia represents the sixth shopping centre for the Fund and a first transaction in Central Eastern Europe for ESCF (taking the total ESCF asset under management to over €500 million).
Florencio Beccar, Fund Manager, ESCF, CBRE Global Investors said: “Our acquisition of Mazovia means we have acquired a core, low risk and well occupied centre at an attractive yield. It is a great fit for the Fund’s portfolio – not only does it assist with our diversification requirements, it means we have also obtained exposure to Poland, one of the strongest markets in terms of GDP growth expectations in Europe.”
He continued: “We are confident that this scheme will perform well for our investors – the asset has a solid track record and it combines a high income return with opportunities for rental growth as a result of strong tenant performance.”
Martin Sabelko, Head of CBRE Global Investors CEE added: “Poland has proved to be a very resilient market during the recent economic downturn as it never went into recession. It continues to have sound economic fundamentals and prospects for GDP growth making this acquisition a solid asset for ESCF to have in their portfolio.”
He continued: “We are also very well placed as a business to manage Mazovia. With more than €1 billion invested in shopping centres and having them under management in CEE since 2002, we have an excellent track record of active asset management. ESCF will also be able to leverage off the strong relationships we have built with retailers in Poland over the years. All these factors make this a solid first entry for ESCF into the Polish market.”