Portuguese retail specialist Sonae Sierra is teaming up with Chinese alternative investment manager Citic Capital Holdings to launch a joint venture for the provision of property management and leasing services to shopping centres in China.

Portuguese retail specialist Sonae Sierra is teaming up with Chinese alternative investment manager Citic Capital Holdings to launch a joint venture for the provision of property management and leasing services to shopping centres in China.

The companies said the partnership will allow Citic to take advantage of Sonae's experience in the creation of shopping centre globally while Sonae will be able to profit from Citic's strong foothold in the Chinese market.

'The partnership will allow Sonae Sierra to quickly gain an in-depth knowledge of the market and the needed unique connections to create new business opportunities in the fast-growing Chinese retail market,' the partners said in an announcemenbt.

China presents 'enormous potential for further growth', particularly in Tier 2 and Tier 3 cities, they added. The joint venture will focus on 'adding long-term value to shopping centres in China, by enhancing shopping experience, minimising costs and risks and maximising the income growth potential and capital value of the shopping centres'.

Headquartered in Shanghai, the newly formed company has pulled together a multi-disciplinary team of local and expatriate talents with expertise in marketing, leasing and property management. The team will start by providing services to retail projects currently invested by Citic Capital or its managed funds.

'It is a proven reality that the Chinese economy is one of the main economic drivers in this century and the expected growth of its internal market will strengthen this even more,' commented Sonae Sierra's CEO Fernando Guedes De Oliveira.