Deutsche Euroshop invests EUR 265m in A10 mall revamp

German shopping center investor Deutsche Euroshop has acquired the A10 mall in Wildau near Berlin out of liquidation. The total investment for the project, including planned modernisation and new development to create A10 Triangle by 2011, will amount to EUR 265 mln. The A10 is the 17th shopping centre in Deutsche Euroshop's portfolio.

Olaf Borkers, CFO of Deutsche Euroshop, said, 'We are investing around €60 million in the A10 Triangle. It will not only offer around 11,000-m² retail floor space, but will also create an estimated 400 new jobs, meaning that around 1,000 people will be employed at the center by 2011'.

The A10 Center was opened in 1996. It currently has around 120 specialist retail units, all of which are let. Anchor tenants at the center include Real, Karstadt Sport, P&C, C&A, H&M, Esprit, MediMax and Bauhaus. The center currently has approximately 3,600 customer parking spaces. After opening of the A10 Triangle in spring 2011, the A10 Center will be home to around 180 shops, offering approx. 66,000 m² of retail floor space; the number of parking spaces will be increased to around 4,000.

The asset was sold by liquidator Rolf Rattunde of law firm Leonhardt Westhelle & Partner. Jones Lang LaSalle advised the vendor.

The total investment, including planned modernisation and new development (A10 Triangle) by 2011, will amount to EUR 265 mln. The acquisition of the A10 Center marks the 17th shopping center in Deutsche Euroshop's portfolio.

Hamburg-based shopping centre developer ECE will be responsible for executing the new development as well as the rental and long-term management of the entire centre. A long-term loan of EUR 150 mln will be provided by DG HYP Deutsche Genossenschafts-Hypothekenbank.