European investor-developer Foruminvest Group has sold the majority interests in three Belgium shopping centre developments to City Malls, a new venture established by Patric Huon, the CEO of Foruminvest Belgium, and Brussels-listed real estate company Banimmo.

European investor-developer Foruminvest Group has sold the majority interests in three Belgium shopping centre developments to City Malls, a new venture established by Patric Huon, the CEO of Foruminvest Belgium, and Brussels-listed real estate company Banimmo.

The financial detail of the transaction were not disclosed, though Banimmo said it is investing EUR 54.15 mln, structured through an equity participation and a mezzanine financing. Under the deal, Foruminvest Belgium becomes a 100% subsidiary of L’Immobilière Huon.

The three inner-city mall developments are located in the cities of Verviers (30,000 m2), Namur (18,000 m2) and Charleroi, which is still at the planning stage. Foruminvest Group is retaining a 30% interest in the future results of the projects.
Huon's company Immobilière Huon and Banimmo were advised by Linklaters, Nauta Dutilh and Bank de Groof and Foruminvest was advised by Allen & Overy.

Huon's company, Immobilière Huon, and Banimmo were assisted in the deal structure by the Belgian investment bankers, Bank de Groof. The new company, of which Immobilière Huon and Banimmo will be the shareholders, will operate, for the time being, under the name City Mall-Foruminvest.

Foruminvest said the transaction fitted perfectly into its strategy to focus on Dutch projects and several large prime shopping centre developments in Italy and Germany. Foruminvest in the Mall (shopping centre management) and Forum TV (the TV channel for shopping centres), both belonging to the Foruminvest Group, will continue to be active and present in Belgium.

Banimmo said the investment was an opportunity it to strengthen its presence in the city shopping malls in Belgium by entering the limited group of players active in the development of large-sized shopping malls in city centres.