Dutch shopping centre specialist Corio said on Monday it has pulled out of the Akkoza (25% interest) and Akasya (7% interest) shopping centre development projects in Turkey (EUR 79.5 mln) and removed them from its pipeline. The company said it had reached an agreement with the developers to cancel its participation in the two projects as they are no longer in line with its strategy of focusing on established operational centres in primary cities.
Dutch shopping centre specialist Corio said on Monday it has pulled out of the Akkoza (25% interest) and Akasya (7% interest) shopping centre development projects in Turkey (EUR 79.5 mln) and removed them from its pipeline. The company said it had reached an agreement with the developers to cancel its participation in the two projects as they are no longer in line with its strategy of focusing on established operational centres in primary cities.
Akkoza was included in Corio's fixed deferrable pipeline for EUR 73.4 mln. Akasya was also part of the fixed committed pipeline. To date, EUR 6.1 mln has been invested in this project. Future equity contributions were not yet planned.
Corio said it prefers to be in control of the management and letting of the project and therefore has decided to waive the 25% (during development and 50% upon delivery) and 7% interests in the two shopping centre projects. The total costs for Corio to waive both projects are EUR 3 mln. The costs will be included in Corio's indirect result over 2009.
