Emerging markets property developer Plaza Centers said it has completed the sale of its Torun Plaza shopping and entertainment centre in Poland to an unnamed private investment fund for €70.6 mln.
The price includes around €1.1 mln which may be due as an earn out payment, Plaza said.
The company is receiving net cash of €28 mln after the deduction of the bank loan (circa €43 mln), and other working capital adjustments in accordance with the balance sheet of the special purpose vehicle holding the asset. The earn out payment of €1.1 mln may be due at the end of May 2018 if new leases are signed by the end of April 2018.
Torun Plaza provides 40,000 m2 of gross lettable space and is one of the largest shopping centres in the region. Plaza Centers started to develop the mall, which is nearly fully let, in 2007 with the scheme eventually opening to the public in 2011.
Dori Keren, CEO at Plaza Centers, said: 'Plaza successfully executed the development of Torun Plaza, followed by its launch and handled ongoing management of the centre. The quality of this asset includes its attractive design, its dominant position in the city of Torun and the good mix of reputable tenants. The professional way it has been managed by the Company's management team has contributed to its ongoing success and appeal.'
