Taconic Capital and Multi Corporation have joined forces to snap up Centro Commerciale Valecenter in Venice, Italy.
The shopping mall opened in 1993 and has a varied range of 120 shops, as well as a Rossetto hypermarket, UCI Luxe multiplex cinema, and parking for more than 2,600 cars. The centre attracts more than four and a half million visitors a year from across the wider region and is extremely popular with the many tourists who visit Venice. The acquisition was completed after the restructuring of the company’s capital structure.
Multi has managed the scheme since 2014. As part of the deal, Multi will continue in its current role as property manager and asset manager but will also be a significant co-investor. With the change in ownership, a new business plan will be developed and executed to increase occupancy and step up the centre’s underlying performance.
Elmar Schoonbrood, co-CEO of Multi, said: “At Multi we are always looking for new opportunities to add value, whether that is a new asset management mandate or an investment like the one we have announced today. The acquisition of a significant stake in Valecenter is an indication of the confidence we have in the retail sector. Importantly though, we are targeted, disciplined and strategic, and will only make an investment when the fundamentals are right. We look forward to continuing our ten year involvement with the Valecenter, and to playing our part in the next chapter of the scheme.”
Keith Magliana, portfolio manager and head of European credit at Taconic Capital, said: “We are excited to partner with Multi on the acquisition of Valecenter. We believe in the untapped potential of the asset and the ongoing improvement of lifestyle and leisure driven retail fundamentals. This is the fourth opportunistic transaction in the retail real estate sector we have recently completed in Europe.”
Taconic and Multi were assisted by Chiomenti and NautaDutilh as legal advisors and by CBRE and Savills for technical and commercial aspects. The seller and the company were advised by Ashurst and STB for legal matters and by EY as financial advisor.
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