Standard Life Investments (SLI) has completed the purchase of the Lanna retail park in Stockholm on behalf of its European Real Estate Club (Euro Club).
Standard Life Investments (SLI) has completed the purchase of the Lanna retail park in Stockholm on behalf of its European Real Estate Club (Euro Club).
The financial details were not disclosed but market sources put the price at £50-60 mln (€69-82 mln).
German lender pbb Deutsche Pfandbriefbank said it provided a SEK 275.5 mln (€25.5 mln) medium-term acquisition facility for the transaction.
Lanna Retail Park was developed by Denmark's TK Development and opened in 2002 with 13,000 m2 of gross lettable area. The park has expanded since then to 33,400 m2 of retail space, leased to 12 tenants. The anchor retailers are hypermarket City Gross and consumer electronic chains Media Markt and Elgiganten. The park also has over 1,000 parking places.
Daniel McHugh, head of Continental European real estate at SLI, said: 'This deal is a strong continuation of the fund’s investment programme. Our strategy is to focus on prime assets in core European markets with some measured risk, and this acquisition perfectly reflects this approach. Retail sales in Sweden have grown steadily in recent years and Lanna Retail Park is well placed to take advantage of further local growth.'
Savills acted for SLI in the deal; JLL advised the vendor.
The Standard Life Investments European Real Estate Club completed its final close in October 2014 having raised €308 mln of equity from global investors.
