Secure Property Development & Investment Limited, formerly Aisi Realty Public Limited, a south eastern European focused property and investment company, today announces that it has secured a 52,835 ft² (approx. 4,908 m²) letting on a five-year lease to supermarket operator BILLA-Ukraine Enterprise ('BILLA') at its main operating asset, Terminal Brovary Logistics Park ('the Park') in Kiev, Ukraine, bringing occupancy at the Park to ~90%.
BILLA was previously present at the Park, occupying space sub-let by DSV; following the termination of DSV's lease at the park, BILLA has now taken all of the 35,765 ft² (approx. 3,322 m²) that was previously let to DSV and an additional 17,070 ft² (approx. 1,585 m²).
BILLA is a subsidiary of REWE Group, one of the leading food retail groups in Europe, which operates in 16 countries and generates turnover of c. 51 billion per annum. BILLA has been active in the Ukraine since 2000 and now operates 22 supermarkets in the country, employing 1,500 people, and represents a very strong tenant for the Park.
This is the latest in a series of lettings, and further demonstrates the Company's success in implementing its plans to improve capital returns at Terminal Brovary. Since the introduction of the new internal management in August 2011, occupancy at the Park has increased from a low of 20% to its current level and the property has become cash flow positive.
The letting also builds on a number of successful initiatives which have been implemented as part of a wider strategy to turn the business around, improve the Company's financial strength, and reposition it for future growth.
Situated in the Ukrainian capital of Kiev, Terminal Brovary comprises circa 525,000 ft² (approx. 48,772 m²) of class-A warehouse and associated office space and is well-located, adjacent to the junction of the main Kyiv Moscow highway and the Borispil road.
Lambros Anagnostopoulos, Chief Executive Officer of Secure Property, commented:
"The letting to BILLA follows a series of successful deals in recent months that have helped us reach the level of almost full occupancy at Terminal Brovary, as we work to maximize income from the property. BILLA is a well-established and growing business, particularly in Eastern Europe, and represents an excellent addition to our roster of tenants at the Park, and its decision to expand its space is a strong endorsement of Terminal Brovary."
Source: FTI Consulting