Foram, responsible for the retail investments of VastNed Retail in southern Europe, has made its first purchase in Portugal. In a sale and leaseback transaction, nine shops have been acquired of the opticianâ€™s chain MultiOpticas (part of Pearle Europe).
The shops are situated at outstanding locations in Lisbon, Porto, Braga, Matosinhos and Barcelos. In total, the purchase concerns approximately 3100 m2 of retail space and corresponding spaces. One of the properties, measuring 1100 m2, is located on the Rua do Carmo in Lisbon; another on the Rua Santa Catarina in Porto (500 m2). Both are top retail locations in Portugal. The other properties, too, are located either in the city centre or on busy neighbourhood shopping streets. The shops have been let for ten years to MultiOpticas, at a so-called full repair and insuring contract, which stipulates that all costs are charged to the tenant. The transaction involves a sum of approximately Euro 11 million; net initial yield is over 8%.
Foramâ€™s investment portfolio at present has a value of approximately Euro 515 million; the total portfolio of VastNed Retail has a value of approximately Euro 1,600 million. VastNed Retailâ€™s policy is aimed at increasing the investments located in southern Europe, while the German part of the portfolio (approximately Euro 275 million) will be divested. It was announced recently that Foram Management will be acquired by VastNed Retail as per January 1, 2003. The board of management of Foram Management, consisting of Ton Donders and Rob Bresser, will transfer its responsibilities to the board of management of VastNed Management B.V. in early 2003.