Meinl European Land Limited has acquired four large shopping centers in Moscow with a transaction value of more than €400 million. The acquisition includes two existing shopping centers in the South-East and North of Moscow to the tune of €120 million and includes a significant potential extension, which will be realised over the next year. After the completion of the extension, which has already been committed, the capital expenditure will almost double to €200 million.
Furthermore two additional shopping center sites in the Western Moscow, on which the development will start 2006, 2007 respectively, have been acquired. The two centers will add more than 80,000 m² to the Russian portfolio of Meinl European Land, who will be spending €200 million on the two projects. All four shopping centers will generate yields in excess of 10% p.a.
This deal was a further important mile stone in Meinl European Lands development and significantly strengthened the Companys leading position in the Russian retail property market.
Metro, the German retailer and one of the leading companies in this sector worldwide is to operate a Real hypermarket on all four sites. With its retailing formats Metro, Real and Media Markt the company is the most expanding retailer in the Russian market.
Family Center in the Czech Republic Anchor tenant Interspar
In addition Meinl European Land has also acquired an Interspar hypermarket with area for further expansion for a retail park in Mlada Boleslav/Czech Republic. The value of the investment amounts to €30 million including the extension, which is scheduled to be completed over the next 12 months.
Portfolio value exceeds €2.6 billion
Following these acquisitions the portfolio of Meinl European Land, including development projects, consists of 159 retail properties for a total value of more than €2.6 billion in 8 Central and Eastern European countries: Czech Republic, Hungary, Slovakia, Romania, Russia, Poland, Latvia, Turkey. Furthermore Meinl European Land will enter the Ukraine this year.
Source: Meinl European Land
