Citycon expands its Norway retail portfolio

Citycon expands its Norway retail portfolio

Citycon has agreed to acquire the remaining interest in Sektor Portefolje II AS, a portfolio of three shopping centres in Norway. The transaction consists of three assets: Stovner Senter, Torvbyen and Markedet. Citycon has managed the shopping centres since 2015 and also owned 20% of the portfolio. The transaction cost amounts approximately to €145m, of which Citycon assumes the existing debt of approximately €135mn and pays a cash purchase price for shares of approximately €10m. After the transaction, Citycon has 100% ownership of the portfolio. In conjunction with this transaction, an agreement has been signed on 3 February 2020 to sell Markedet with the price of approximately €12m. The closing is expected to take place by the end of the February 2020. 


“With the acquisition of this portfolio, we will strengthen our position in Norway. We see value in this portfolio and are in the process of selling Markedet, the smallest of the three assets. We have owned and managed the centres since 2015 and we know the assets well. With our extensive knowledge and full ownership of these assets, we believe we can create value for our shareholders,” said F. Scott Ball, CEO at Citycon.


Further details of purchased assets:

  Stovner Torvbyen Markedet
Location Oslo, Norway Fredrikstad, Norway Haugesund, Norway
GLA, m² 43,000 14,100 10,700
Tenant Sales, MNOK 805 300 215
Occupancy rate, % 89.5 95.5 93.2

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