Sonae Sierra has acquired a 50% stake in Balmain Asset Management Group’s Central European platform. Balmain is an experienced operating partner and multi-disciplined service provider with a strong pedigree in European retail and leisure assets. With this acquisition, Sonae Sierra is able to enter the Polish market and create conditions for facilitating significant expansion opportunities into other CEE markets for the new JV entity, Sierra Balmain.
This joint venture will firstly be focusing on the continued expansion of the existing services of Balmain’s Polish portfolio, which already comprises a total of 15 shopping centres in 15 different cities in Poland. BSC Real Estate Advisors and BSC Property Management, subsidiaries of the Balmain Group, will be renamed in line with the Sierra Balmain brand but will continue to run and be governed separately to the asset management business. The new JV will not be a direct investor but will continue to provide top-quality services to its client investors. Sierra Balmain will combine both the international experience in retail real estate from Sonae Sierra, with the extensive local market knowledge of the Balmain team, which will retain management of the day to day business.
With more than 100 experienced professionals, managing a portfolio worth over €1bn, including 1,170 leases across more than 430,000m² of GLA, the Sierra Balmain JV will be providing a combination of asset management, property management and leasing services throughout its portfolio. The joint venture will make use of both companies’ strong track records and growing service capabilities, coupled wita strong local market experience, in order to keep expanding its service business on all fronts, achieving great results and shaping tomorrow’s future in the Polish and other CEE markets.
“We are used to partnerships in new markets, and the opportunity to join Balmain and capitalize on its unique synergies with Sonae Sierra will allow us to grow our business in Poland and other adjacent markets in the future. The joint venture reinforces Sonae Sierra’s service business with a very interesting portfolio of clients in Poland and a very experienced local team while laying the groundwork for further growth across other CEE countries,” said Pedro Caupers, Sonae Sierra´s Chief Investment Officer and Board Director.
“We are both delighted and excited to be in this partnership with Sonae Sierra. From the outset of the discussions we sensed the operational synergies and like-minded approach to creating innovative environments for our clients’ real estate investments. The combined knowledge, resources and capability of Sierra Balmain will bring a new perspective to Poland and the region in the areas that we operate,” commented James Turner, Balmain Group Managing Director.
