Corio acquires shopping center in Italy (NL/IT)

Corio signed a contract to purchase part of the shopping center Il Globo in Busnago (Milan) in Italy for a total amount of € 44.6 million. This acquisition price also includes call options and pre-emption rights for the acquisition of the remainder of Il Globo. The vendor is Polis Fondi Immobiliari di Banche Popolari SGR.p.A.

The shopping center Il Globo has a gross lettable area of 40,000 m² and is located in Busnago, between the cities of Milan and Bergamo in the Regione Lombardia, the region with the highest purchasing power in Italy.

The total mall of Il Globo consists of about 130 shops and is one of the largest shopping centers of Italy, with national and international retailers such as Conbipel, UPIM, Zara and Mediaworld. The shopping center has a 100% occupancy rate. The first phase, Il Globo 1 opened in 1993 and has been extended in the year 2000 (Il Globo 2) and 2004 (Il Globo 3). The latter extension is still in progress.

Il Globo 1 consists of a gallery of almost 10,000 m² with 64 shops, and is anchored by an IPER hypermarket. At this stage Corio has acquired 8,000 m² of Il Globo 1 for an amount of € 44.2 million together with a preliminary contract for the acquisition of the further 2,000 m² for € 0.4 million.

The total acquisition price will increase upon the finalisation of this contract from € 44.6 million to € 46.0 million. This acquisition will provide an expected gross yield of approximately 7% after the rent renewals, which will occur in the first half of 2005. In addition, Corio has call options and pre-emption rights to acquire Il Globo 2 and Il Globo 3, which is included in this price.

This acquisition fits very well into Corio´s strategy with a focus on retail in general and shopping centers in particular in its ´home countries´ the Netherlands, France, Italy and Spain. Corio continuously improves and extends its portfolio by local hands-on management.

Source: Hugin

Related News