Sonae Sierra fund takes control of Portuguese malls

A fund operated by Sonae Sierra has taken full control of two shopping centres in the Algarve region of Portugal.

Sierra Portugal Fund (SPF) reached an agreement with GREP II, a fund managed by Grosvenor Fund Management, to acquire the remaining 50% stake it did not already own in AlbufeiraShopping and Centro Comercial Continente de Portimão. The financial details of the transaction were not disclosed.

AlbufeiraShopping was inaugurated in 1989 and was the first shopping centre managed by Sonae Sierra in Portugal. In 2010, the centre underwent a refurbishment and currently includes 44 shops over 11,600 m2 and 560 parking spaces. It is 96% let.

Centro Comercial Continente de Portimão opened in 1990 and has 13,500 m2 of GLA, 60 shops and 769 parking places. The shopping and leisure offer includes a Continente hypermarket, 16 restaurants, and 6 cinemas. It is 95% let.

SPF was created in 2008 and owns nine of the shopping centres in operation in Portugal. Sonae Sierra holds 47,5% of SPF, with the other 52,5% owned by Finnish pension funds Keva and Ilmarinen; UK asset manager Schroders Investment Management and the Swiss Partners Group.

'This operation is a good opportunity to strengthen Sierra Portugal Fund's position in two assets established in the Algarve for about 25 years,' Sonae Sierra's CEO Fernando Guedes de Oliveira said.