GE Real Estate Central & Eastern Europe has entered into a forward funding agreement with Euro Mall Holdings (a subsidiary of TK Development) for the development of a shopping center in Kolin and a retail park in Liberec, Czech Republic for approximately €44 million The shopping centre in Kolin will have a floor space of 10,000 m² and is scheduled for completion in spring 2008. The centre is strategically situated downtown, close to the rail and bus stations.
The retail park in Liberec will have a floor space of 17,000 m ² and will be built in two phases, scheduled for completion in autumn 2008 and autumn 2009. It will be located close to the town's main thoroughfare, which also serves as an arterial highway from the Czech Republic to Germany.
This is the third transaction that GE Real Estate has undertaken with TK Development in the Czech Republic following the acquisition in 2003 of four Czech shopping centres and the forward funding in 2006 of a retail park in Ostrava.
Karim Habra, Managing Director of GE Real Estate Central & Eastern Europe, commented:
"Working with strong partners is a cornerstone to our rapid growth across Central & Eastern Europe and we are very pleased to be working with TK Development on another transaction. These two new developments will greatly enhance the retail offer in Kolin and Liberec, respectively. Furthermore, this transaction demonstrates our commitment to Central Europe and strengthens GE's position as the leading investor in retail assets across the region."
Source: GE Real Estate