Private equity firm Kohlberg Kravis Roberts is on the verge of acquiring two Spanish retail parks from UK REIT British Land for some €100 mln in total.

Private equity firm Kohlberg Kravis Roberts is on the verge of acquiring two Spanish retail parks from UK REIT British Land for some €100 mln in total.

KKR is believed to be acquiring the 95,000 m2 Nassica Retail and Leisure Park in Getafe to the south of Madrid, and the 16,000 m2 Vista Alegre Retail Park in Zamora. Both properties were refinanced in 2012 with a new €61 mln loan from pbb Deutsche Pfandbriefbank.

'Nassica is a good asset while Vista Alegre is a defensive property with no competition in the region but is located in the very small town of Zamora,' a source said.

CBRE and Deloitte are advising on the deal.

British Land announced in spring 2013 that it was planning to sell its £255 mln (€300 mln) retail holdings in Continental Europe. The UK REIT entered mainland Europe in 2005 with the purchase of Pillar Property, a retail specialist with assets in Spain and Italy.

Last year the company sold its 50% interest in Puerto Venecia, Spain's largest mall, and currently owns stakes in 10 retail parks, through its 65.3% interest in the Pillar Retail Europark Fund (PREF).

Located in Portugal, Spain, France and Italy, the assets have a combined value of £204 mln. In Portugal, PREF's five out-of-town retail parks are some of the best in the industry, particularly the Sintra retail park near Lisbon. The 27,000 m2 Portimao Retail Park on the other hand is in bad condition after it almost completely burned down in a fire in September 2012.