This Tuesday the transfer has taken place between TCN Property Projects and Capitalinvest for the development of Retail Park Portimão. The park, with a size of ± 24.000 m² GLA, is located along the provincial road E-125 in Portimão (Algarve).
(Pre-)lease agreements have been signed for approx. 60% of the space by, amongst others, Carrefour, Staples Office Center, Aki en Decathlon. Carrefour will be the main anchor tenant with 8.200 m² Candidates for the remaining units are available.
The catchments area (especially for the non-food offering) will be from across the Algarve's coastal area. Approx. 300.000 people live within 30 car minutes, together with yearly 1,8 million tourists and semi-permanent residents. Until now, no retail parks of this size, quality and stature are available in the Algarve.
On Wednesday the partners confirmed the development proceedings by signing the construction finance agreement with Bouwfonds Property Finance B.V. The total investment of the project is 20 million.
The Algarve is one of the fastest growing areas in Portugal. Tourism continues to be the number one source of income but differentiating type of businesses are showing interest to invest in the Algarve attracted by it's mild climate, workforce and general quality of life.
The infrastructural works for the Retail Park Portimão are nearly finished and the construction of the steel structure has recently started. Working on this around the clock, it is expected that the first tenants may move into their premises for finishing works as early as late November. The opening of the shops will be phased from December 2005 till April 2006.
TCN's partner for the developments of retail parks in Portugal is Capitalinvest from Lisbon. Retail Park Portimão is the second project being realised within this partnership. Earlier this year Retail Park Aveiro was placed in the portfolio. It is foreseen that within a time horizon of 2-4 years the projects are going to be sold to end investors.
TCN's responsibility within the partnership is marketing, sales and project management. This is performed by TCN staff from the Lisbon office who are supported by retail- and management experts from within the European TCN network.