AM NV (formerly Amstelland MDC) has completed a contract to sell the shopping center Forum Madeira, located in Funchal, the capital of Madeira Island, to DB Real Estate Investment GmbH. The total investment value of this project is approximately â¬ 70 million. Construction on Forum Madeira began in 2003 and the shopping center is scheduled to open in April 2005.
Forum Madeira is an edge-of-town retail development in Funchal. The project will have a gross lettable area of 20.000 mÂ². It will be anchored by a Pingo Doce hypermarket and a Lusomundo 6-screen cinema, as well as international fashion tenants (including the Zara Group), Sportzone and RÃ¡dio Popular. Forum Madeira will have a total of arount 90 shops and restaurants, and will be served by a car park for 800 vehicles. Over 95% of the space is already let.
The residential population in the island is 250.000, half of which in the city of Funchal. Between 700.000 and 1.000.000 tourists visit the island every year. Forum Madeira is designed to attract both tourists and local shoppers from all over the island.
The shopping center was designed by T+T Design, the in-house architects of AM. The project is integrated in a medium-high quality residential area. The scheme is composed of three retail levels, around an open-air central court. Pedestrian access is easily available to all retail levels, and vertical circulation is ensured through escalators and lifts integrated into a beautiful tower, which dominates the main âpiazzaâ. Special attention has been given by the project team to the design of the food-court terraces and roof gardens, both of which will have spectacular sea views.
Growth in retail development
The Forum Madeira project is consistent with AMâs strategy of growth in shopping center development in Europe. There is a strong demand in Southern Europe for modern shopping centers incorporating leisure facilities, and these projects generate in general better margins than those in the more mature markets in Western Europe. By developing high-quality shopping centers, AM is meeting the needs of Portuguese consumers, international store chains and property investors.