Henderson Global Investors' European Outlet Mall Fund experiences strong demand for equity raise
Friday 13 August 2010
Henderson Global Investors’ €1.4 billion European Outlet Mall Fund (EOMF) has seen strong demand for its latest equity raise.
Two major institutional investors have already signed commitments with a further interest in the Fund’s remaining investment window. This raised equity, as well as that released from the sale of EOMF’s Designer Outlet Center in Troyes to Resolution Property in April 2010 for €85.5 million, will enable EOMF to invest an additional €140 million into its existing portfolio and new assets.
The EOMF team is currently actively looking to expand the Fund’s portfolio through investments in prime designer outlet centers in continental Europe.
David Williams, Fund Manager for EOMF said: “We are extremely interested in investment opportunities in Germany but we are also very interested in the French and Spanish outlet market. The German outlet sector has a lot of potential which we have already experienced through the success of our designer outlet mall in Berlin, which will open it’s second phase this September and has outperformed since the opening of its first phase in 2009.”
Turnover across EOMF’s portfolio is significantly up on the same period last year. A lease structure based on turnover has enabled valuations across the portfolio to remain stable during the economic downturn.
Established to acquire properties that are dominant in their catchment and offer significant asset management opportunities, the Fund directly owns eight leading European outlet malls located in France, Italy, Austria, the Netherlands, Belgium and Germany as well as three UK outlets indirectly, with an overall portfolio valued at approximately €1.4 billion. All properties are managed by the McArthurGlen Group - Europe’s leading developer, owner and manager of designer outlet villages. Henderson and McArthurGlen are co-investors.