Belgium's Retail Estates buys 14 shops for EUR 25m

Belgian investment property company Retail Estates has acquired a portfolio of 14 shops with a total value of EUR 25 mln from an unnamed British investor, according to Belgian news reports.

The portfolio is spread over Belgium and is rented out to a number of retailers including C&A, Carpetright, Brantano and Vanden Borre. The acquisition price of EUR 25 mln consists of EUR 12 mln in new shares and around EUR 13 mln of existing debt on the properties.

As part of the deal, Retail Estates will request approval from its shareholders to issue 308,623 new shares for EUR 40 per share, to be transferred to the seller. According to Belgian newspaper De Standaard, the company is not obliged to do the transaction if the average share price on the stock exchange in the month previous to the shareholder meeting exceeds EUR 40 per share.

Retail Estates currently has a retail portfolio consisting of over 400 shops with an estimated value of over EUR 417 mln, with an occupancy rate of over 98%.