Globe Trade Centre S.A., acting through its Czech subsidiary, together with its partners, RREEF (real estate fund managed by Deutsche Bank A.G.) and Scorpio (BS Group), acquired a 9-hectare site located next to Sazka Arena in Prague, a new sport and concert stadium. At the site GTC will develop a 40,000 m² GLA modern shopping center as well as 80,000 m² NRA office complex and potentially a hotel. The total cost of investment is estimated at approx. €265 million. The start of construction is planned for Q4 2007.
The land is located in District 9, next to the metro station, with an excellent exposure to the important city communication routes and access to public transportation.
GTC S.A. will develop this project through its associate company and will hold ultimately 29.7% interest in this venture.
The robust economic growth in Czech Republic resulted in increased demand for high quality retail centers and office space in Prague. The new project next to Sazka Arena will address that demand, creating a large commercial district in a popular destination for Prague residents.
The new development will add to the impressive property portfolio in Prague that GTC holds together with its partners.
Currently the Company develops two large residential projects Prague Marina and Green City. Within Prague Marina complex, GTC starts development of two office buildings, while already-completed 27,000 m² Lighthouse office building is 90% leased.
In District 6 GTC owns an office-logistic centre that upon getting planning decision will be turned into luxurious residential complex with more than 400 apartments. In addition, GTC plans to develop waterfront residential property in the Vltava River ports of Liben and Smichov.
Total NRA (existing, in progress and pipeline) in Prague is approx. 500,000 m² on approx. 600,000 m² land.
Source: Advanced Public Relations