MAB and Neinver announce joint venture at Mapic

MAB Development and the Spanish outlet operator Neinver have signed an agreement in principle at the Mapic retail trade fair in Cannes to cooperate on the development of factory outlet centres (FOCs) in France and Germany. The combination of Neinver's knowledge of management, concept design and leasing in FOCs and MAB's expertise in development within the French and German markets will result in a powerful joint venture, the partners said.

The cooperation paves the way for including FOC projects into a retail fund following delivery. The partners have already identified four projects for such a fund in France. The JV expects to develop up to 135,000 m² of GLA with the projects identified for the fund including Honfleur (Normandy), Roppenheim (Alsace region), Bellegarde (near Swiss border) and Villefontaine (Rhone Alps).

The JV is planning to invest around EUR 350 mln in an (extendable) investment period of five years. Projects for Germany will be chosen at a later stage.

MAB Development and Neinver will both be performing development activities for the joint venture. MAB Development will take the initiative in project acquisition, obtaining the necessary permits as well as, in cooperation with Neinver, carrying the responsibility for development and project management. Neinver’s primary role will be the definition of the concept design and the leasing of the projects (layout and retail mix) in cooperation with Studio MAB. Additionally, Neinver will be responsible for all marketing-related issues and asset management.

Neinver CEO Manuel Lagares said: 'This agreement is a key milestone for our business strategy to become the market leaders in the outlet industry in Europe. MAB's knowledge of the German and French markets together with Neinver's experience and understanding of the outlet concept will merge into a very powerful alliance in the coming years.'