Finnish real estate equity fund Evli Property Investments (EPI) Baltic I has signed a long-term lease agreement with Swedish fashion chain Lindex for De La Gardie shopping centre in Tallinn. The lease covers three floors of premises and includes most of the 2,100 m[sup]2[/sup] rentable area. Lindex also has an option to lease premises on the top floor of the shopping centre when they become vacant.
Finnish real estate equity fund Evli Property Investments (EPI) Baltic I has signed a long-term lease agreement with Swedish fashion chain Lindex for De La Gardie shopping centre in Tallinn. The lease covers three floors of premises and includes most of the 2,100 m2 rentable area. Lindex also has an option to lease premises on the top floor of the shopping centre when they become vacant.
Baltic I acquired the De La Gardie shopping centre in July 2006. It is located in Viru Street, one of the busiest shopping streets in Tallinn's old town.
Maria Söderman, investment manager at Evli Property Investments Ltd, commented: 'Our plan when we acquired the property was to develop it and increase cashflow through tenancy changes. The location of the property is excellent commercially and considerable interest has been shown in renting it. Lease negotiations were carried out with several parties. The lease signed with Lindex fully supports our strategy to develop this property.'
Founded in April 2005 as the first Finnish real estate equity fund, EPI Baltic I invests in the Baltic real estate market. The fund closed in December 2005 when its equity commitments reached the preset EUR 50 mln maximum.
EPI Baltic I owns five properties in the Baltic countries including a commercial building in the centre of Vilnius, a production facility outside Tallinn and three properties in Tallinn: the De La Gardie shopping centre, a logistics facility and Rautakesko's K-Rauta hardware store. Catella Property is the portfolio manager of EPI Baltic I.
