Atrium European Real Estate has bought a €301.5m Polish retail asset from a CBRE Global Investors managed fund.
The shopping centres and retail real estate investor said it has agreed to buy Wars Sawa Junior, in Warsaw from PFCEE.
The deal will be financed using a mixture of existing cash resources and external financing.
Built in the early 1970’s, Wars Sawa Junior was originally Warsaw’s first department store. It offers 26,000sqm of retail space which is fully let. The retail centre also offers a further 11,000sqm of predominantly office and storage space.
The deal is expected to be completed during the fourth quarter of the year. Once completed, Atrium will own four major shopping centres in the Polish capital.
Atrium said it plans to create a further 26,000sqm of gross lettable area in the Polish capital by the end of 2018 as part of its ongoing redevelopment programme, which will ultimately add over 60,000sqm of prime retail space in Warsaw.
Liad Barzilai, the CEO of Atrium Group, said: “Not only does Wars Sawa Junior add another large dominant retail destination to our growing Warsaw asset base, it also offers a number of exciting opportunities for redevelopment and asset management that will allow us to grow the centre and create further value, taking full advantage of its unique prime central location.
“The acquisition is in line with our strategy of focusing Atrium’s portfolio towards prime shopping centres in Poland and the Czech Republic with the higher quality cash flow growth that they provide.”