AEW announces that it has acquired two high quality retail assets in central Dublin and Milan on behalf of the City Retail Fund (the “Fund”), for an aggregate consideration of c. €39m. The Fund’s strategy focuses on building a portfolio of high quality, income producing retail assets that are well located within the main European city centres, and now has a portfolio of 10 assets across 7 markets.
In Dublin, AEW has acquired a 958 m² prime high street retail asset for c. €20m; the Fund’s first acquisition in the Republic of Ireland. Located at 42-43 Henry Street, one of the two main pedestrianised high street retail locations in Dublin, the property is fully let to the Arcadia Group, trading as Evans. Nearby retailers include Zara, H&M and M&S.
In Milan, AEW has acquired Via Torino 22, an 851 m² prime retail asset in the centre of the city for €18.5m. The asset is fully let to Japanese retailer Muji, which is due to take occupancy in September 2017. The property is situated in one of Milan’s prime retail locations in close proximity to the Piazza Duomo, with nearby retailers including Nike, Victoria’s Secret and Mango.
Christina Ofschonka, Fund Executive of the City Retail Fund commented: "These most recent acquisitions for City Retail mark the Fund’s first acquisitions in both Milan and the Republic of Ireland, further diversifying the Fund’s geographic spread. The ability to move into these new markets demonstrates AEW’s ability to source attractive opportunities throughout Europe using its network of local offices. Having passed the initial fundraising target of €400m, we have now closed on €465m of commitments, which we are deploying at a steady rate and currently have a number of investment opportunities in the pipeline that will allow us to both grow and further diversify the Fund’s portfolio.”
