AXA IM - Real Assets has completed, on behalf of clients, the acquisition of the Dolce Vita Tejo shopping centre in Lisbon, Portugal for €230m. The asset has been acquired from Baupost and Eurofund Group, who are currently undertaking a redevelopment programme, aiming to reposition the centre as Portugal’s premier retail and leisure destination experience. Eurofund and Baupost will continue to respectively act as operator and development manager for the asset until completion.
Attracting an annual footfall of 15 million, Dolce Vita Tejo is currently the second largest shopping centre in Portugal totalling 80,000 m², spread across two floors and four adjoining levels of parking. The 274 retail units are over 90% let to a range of retail, leisure and food and beverage tenants, offering a compelling proposition which has proved attractive to customers. The significant redevelopment programme, to be completed in 2019, will deliver additional lettable space and units, reinforcing the asset’s position as Lisbon’s leading retail and leisure destination.
On completion, the scheme will provide a first-of-its-kind entertainment offering in Portugal to include a water park, virtual reality games and flight simulators, along with a theme park, totalling 5,000 m². A site-wide refurbishment will also see additional pop-up facades, a new entrance, increasing visibility, and improved access via a new bus stop. Lease re-gears for increased floorspace have already been secured with several anchor tenants.
Located 12km from Lisbon Portella Airport, in one of Lisbon’s most densely populated suburbs, Amadora, Dolce Vita Tejo benefits from its prominence and excellent transport links, including its own dedicated junction on the IC16 motorway, linking it directly into the Lisbon inner and outer ring roads.
Hermann Montenegro, Head of Asset Management & Development, Iberica at AXA IM - Real Assets, commented: “This acquisition is further evidence of our confidence in the recovering Southern European retail market, while it has provided us with a unique opportunity to meaningfully enter the Portuguese capital. The redevelopment programme that is currently underway is focused on enhancing the value of this well-located asset to further cement it as one of the country’s leading shopping destinations, for the benefit of our clients. We look forward to creating a next-generation retail experience that innovatively embraces the changing trends in consumer behaviour and is aiming to position Dolce Vita Tejo as a high performing asset for the long term.”
