BPT Optima acquires shopping centre in Riga, Latvia
12 February 2007
Related to
BPT Optima
On 12th February 2007, BPT Optima S.A.,
SICAR, completed the acquisition of Barona Centre in Riga, Latvia.
Barona Centre is a modern retail centre with a leaseable area of
more than 4,000 sqm. The building is located on Kr. Barona Street,
which is a prominent high street close to the old town in the
centre of Riga. The acquisition value is more than EUR 10mn.
The Barona Centre was built in 2001
and is currently fully let. The anchor tenant is Rimi, the largest
food retailer in Latvia. In addition, the retail centre has over 30
tenants of which most are well-established clothing and footwear
retailers.
New construction projects are highly
restricted in the central area of Riga. This combined with the
areas wealthy demographics provides a solid foundation for Barona
Centre to meet financial expectations.
"Our investors have held this property for an important period
in the developing Latvian property market and are happy with
bringing the ownership over to Baltic Property Trust", says Conor
Carrigan of Trinity Capital Group, asset manager for the
investors.
Baltic Property Trust Country
Manager of Latvia Jānis Rum-kovskis comments on the acquisition:
"It is currently rather difficult to acquire well located retail
centers in Riga. During the last year there has not been any major
transaction of similar types. With the acquisition of the Barona
Centre, BPT Optima has secured a yield that is well within the
fund's target direct yield of minimum 7.5% and at the same time we
find the risk profile attractive."
The real estate agent DTZ was
advising on the acquisition, while Nordea was providing escrow
account services.
"It has been a challenging task to
introduce this property to the local as well as the international
market. We are expanding our presence in the Baltic countries and
look forward to new deals", comments Staffan Bonde, partner of DTZ
Sweden.
For more information please
contact:
Investor Relations
Phone +45 33 69 07 33
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here to Email
