AXA Real Estate closes acquisition of 35% of German mall for €231m

AXA Real Estate Investment Managers said on Monday that it has completed the acquisition of a 35% stake in the Ruhr Park shopping centre in Bochum, Germany for €231 mln.

The purchase is earmarked for AXA Selectiv’ Immo, a French OPCI investment fund, and an AXA insurance company.

The 35% stake was acquired from Perella Weinberg Real Estate Fund I, which previously owned 50% of the centre as part of a joint venture with Unibail-Rodamco. The deal values the entire scheme at €660 mln.

As part of the transaction, Unibail-Rodamco has acquired the remaining 15% of PWREF’s stake in the centre, increasing its holding to 65%, and will continue to manage Ruhr Park.

Originally built in 1964, Ruhr Park has undergone refurbishment works since its inception with further updates including a 22,000 m2 extension currently underway. This latest phase is due for completion in the fourth quarter of 2015 and will increase the centre’s total lettable area to 107,000 m2. Ruhr Park currently offers a total of 168 shops, a cinema and parking for 4,400 cars.

'We remain convinced of the ability of the retail sector to provide secure, long-term income streams and continue to seek out and invest in such assets to the benefit of our clients,' said Laurent Jacquemin, European head of transactions.

This is AXA Real Estate’s third shopping centre joint venture in the past 12 months and follows the acquisition in 2014 of a 50% stake in Cabot Circus, Bristol, UK and the establishment in February 2015 of a joint venture with Eurocommercial Properties, to own a 50% stake in the Etrembières Shopping Centre in France.

At the end of March 2015, AXA Real Estate held €9 bn of retail assets across 13 European countries, including over 35 shopping centres.