Deutsche Asset Management (Deutsche AM) has acquired the Fashion House Portfolio in Poland which consists of three shopping outlets located in Warsaw, Gdańsk and Sosnowiec. The acquisition, from a fund managed by Peakside Capital, is on behalf of Deutsche AM’s German funds.
The portfolio comprises over 50,000 sqm of retail space, with over 210 different tenants including Nike, Adidas, Puma and 4F, offering a balanced and attractive combination of national and international, high-street retailers and luxury brands. Built mostly in 2005, the outlets feature unique themed architecture and substantial car parking facilities, and benefit from prominent positions within their cities, with excellent accessibility and visibility.
In addition, Deutsche AM has appointed PRÔM as the portfolio centre and asset manager. PRÔM is a joint venture of Peakside Capital and ROS Retail Outlet Shopping.
“This transaction allows Peakside to liquidate the 2007 vintage Polonia Property Fund II Ltd, generating attractive returns for our investors,” said Stefan Aumann, Partner, Peakside Capital. “The assets still possess significant value creation potential and we are delighted to remain involved through our joint venture, PRÔM, supporting business continuity.”
“Our investment in the Fashion House Portfolio outlets complements the traditional retail centres, while providing defensive investment exposure to the evolving retail sector,” said Georg Allendorf, Head of Real Estate, Europe, at Deutsche Asset Management. He added, “These three outlet centres enjoy strong recognition in the Polish market and we look forward to working with our newly appointed centre managers PRÔM to further strengthen the position of this portfolio.”
“We thank Deutsche Asset Management for the opportunity to work together and will commence work on a shared vision for the portfolio,” said Thomas Reichenauer, Managing Director, PRÔM. He added, “Continued success of the outlets will be sustained by strengthening our excellent relationships with brand partners and stakeholders, whilst constantly curating attractive offerings for customers.”
PRÔM will assume full responsibility for centre management from the end of June, following an interim period.
Deutsche Asset Management’s global real estate business currently holds USD 54.6 / EUR 51.0 billion in assets under management as of March 31, 2017. The acquisition of the Fashion House Portfolio brings total assets under management in Poland to EUR 1.65 billion.