Rodamco Europe, the largest publicly listed property investment and management company in the retail sector in Europe, will not suffer any direct financial consequences regarding the potential delay in the construction of the Zlote Tarasy shopping center in Warsaw, Poland. The delay could be the result of a court verdict based on a claim raised by a Polish ecological association.
CEO Maarten Hulshoff: “We regret the potential delay in the construction of the Zlote Tarasy shopping center in Warsaw, Poland, but we are confident that the issue will soon be resolved by the relevant parties concerned. As Rodamco Europe does not carry any of the development risk of this project, any potential delay will not have negative financial consequences for Rodamco Europe.”
Rodamco Europe will be an investor in a 50% share of the shopping center of Zlote Tarasy upon completion, expected in autumn 2005. Under the conditions between the development company ING Real Estate and Rodamco Europe, the latter will invest 157 million euros upon completion of the project. A delay in the construction will not have any impact on these conditions. Any risks or limitations during the construction will not have any financial consequences for Rodamco Europe.
Source: Rodamco Europe