Citycon Oyj will build a new shopping centre in Myllypuro, Helsinki. In addition, 255 rented and right-of-residence apartments, all privately financed, will be built in conjunction with the shopping center, as well as an underground parking hall with 270 places.
The shopping center will have a prime location right next to the Myllypuro metro station. The total cost of the Myllypuro project will exceed 60 million, Citycon's share of the forthcoming shopping center and parking hall accounting for 20 million. Citycon's share will be financed from its existing liquid assets.
Citycon has sold all of the housing associations connected with the shopping center to ICECAPITAL Housing Fund II Ky, Asuntosäätiö and Ilmarinen Mutual Pension Insurance Company. Each housing investor will be responsible for the construction and rental of its own apartments.
The new shopping center's gross leasable area will be roughly 7,300 m². Its service offering will include grocery stores, plus restaurants and various health care and well-being related services, such as a pharmacy. Public services will also be available. Over 60% of the premises have so far been let.
Construction work will get underway at the beginning of March. The shopping center will be completed in phases, with the first part opening in the early summer of 2011 and the second phase a year later, in 2012.
The Myllypuro shopping center project is in line with Citycon's growth strategy, involving the active development of premises in prime locations."Markedly improving retail and other service provision within the Myllypuro area, the new shopping center will represent the positive development of the entire district," affirms Jukka Posti, Vice President, Property Development, Citycon.