RPPSE Espacio Oviedo, owner of the Modoo shopping centre in the Spanish city of Oviedo, has reportedly filed for administration after the Covid-19 pandemic hampered its ability to attract both tenants and investors.
As the health emergency continues to take its tool on Europe’s retail property market, the company told Spanish paper Brainsre that it filed for creditor protection in a Madrid court in an attempt at survival amid the prolonged restrictive measures imposed on the retail sector.
The 40,000 m2 shopping centre designed by architect Santiago Calatrava was about to undergo a major renovation representing an investment of around €40 mln, with the opening scheduled for 2023.
RPPSE bought 75% of the mall in 2018 and a year later took full control of the asset, with a view to carry out a full redevelopment.
In early 2020, just before the pandemic, the project was 30% pre-let.
