CA Immo has inked a deal to sell the Sestka Shopping Centre in Prague to Wood & Company, as it continues a strategic withdrawal from non-core business segments including retail.
'Since 2012 we have been focusing our asset portfolio continuously on large, modern office properties in the strategic core markets of Austria, Germany and CEE,' commented Frank Nickel, CEO of CA Immo. 'The proceeds from these non-strategic sales are mostly reinvested in our current development projects in Germany and new acquisitions in CEE such as the recently announced purchase of the Millennium Towers in Budapest. The target is to drive up the quality of revenue delivered by our asset portfolio and to strengthen our market position in all our core markets.'
The 27,300 m2 Sestka Shopping Centre was acquired by CA Immo in 2011. The buyer is a fund of Wood & Company, the CEE investment bank. Terms of the transaction were not disclosed.
'Sestka Shopping Centre is already the second sizable acquisition in the Prague retail market that Wood & Co is about to complete for our fund investors. The first such acquisition was Harfa Shopping Centre, which the Wood & Co fund acquired mid this year. Together with our business partners we will strive to increase the attractiveness of Šestka for its visitors, for existing as well as new tenants by implementing new concept ideas,' said Vladimír Jaros, CEO of Wood & Company.
Czech assets currently form about 7% of CA Immo's portfolio. After the disposal, the company's remaining properties in the country comprise four large office buildings in Prague.
Law firm Clifford Chance Prague advised the seller.
