Union Investment has acquired the Continente Colombo hypermarket operated by food retailer Sonae MC in the Portuguese capital, Lisbon.
Financial details are not disclosed.
The hypermarket includes an extensive foyer featuring various service, retail and restaurant units and covers a total area of 23,445 m2.
The acquired property forms part of the Colombo shopping centre, which opened in 1997 and is Portugal’s dominant and most frequented shopping centre with over 300 tenants.
he acquisition will be added to the portfolio of institutional open-ended real estate fund UniInstitutional European Real Estate.
Laura Roll, investment manager at Union Investment, said: 'With the acquisition of Continente Colombo, we are taking advantage of a great opportunity to further diversify our real estate portfolio in Iberia and enter the retail real estate segment in Portugal for the first time.'
Alongside its mix of uses, the Colombo shopping centre benefits from a highly frequented location directly opposite the Estádio da Luz stadium and excellent transport access.
'With the acquisition of Continente Colombo we’ve succeeded in combining the two major focuses of our retail investment strategy, which constitutes of grocery-anchored retail on the one hand and on best-in-class shopping centres on the other hand. We will further continue to selectively expand our portfolio in both areas,' said Roman Müller, senior investment manager at Union Investment.
Union Investment was advised by Linklaters, Cushman & Wakefield and Sonae Sierra, who will also manage the property on behalf of Union Investment.
Jamestown Europe managed the disposition on behalf of a separate account of a Luxembourg pension fund and was advised by Garrigues and Arcadis.
