G City Europe completes purchase in Prague

G City Europe has completed the purchase of a remaining 25 percent stake in the Arkady Pankrac Shopping Center in Prague, Czech Republic for a consideration of €60.5 million. The company financed the transaction with UniCredit Bank Czech Republic and Slovakia and raised €112 million secured loan with a tenor of five years. The remaining part of the proceeds will be used to repay the company’s current debt.

Considering the company previously acquired 75 percent ownership back in 2015, with this new acquisition it consolidates its ownership, and following this transaction, the company will own 100 percent of the centre.

Arkády Pankrác opened in 2008 and is a prime modern shopping centre comprising 38,700  sqm of retail GLA, as well as 1,030 sqm of office GLA, along with parking for c.1,100 cars. The centre is well established as one of the principal shopping centres in Prague and is leased 96 percent. It is very well served by public transportation including an existing metro stop and will in due course benefit from the opening of an interchange stop on the second metro line currently under construction. The transaction includes the adjacent land plot of 5,400 sqm with building rights of 22,500 sqm.

ECE Projektmanagement Praha s.r.o. will continue managing the centre.