Dutch-based pan-European retail property investor VastNed Retail has entered Turkey through the purchase of the Elysium Shops shopping centre from developers Mimtur and Ofton for EUR 9.7 mln. The mall, located in the Sisli district in Istanbul, is newly built and provides 4,850 m[sup]2[/sup] of retail space on the ground level and 200 parking spaces. Sisli is one of the most prominent and affluent districts in the city, with excellent infrastructure and numerous residential developments.
Dutch-based pan-European retail property investor VastNed Retail has entered Turkey through the purchase of the Elysium Shops shopping centre from developers Mimtur and Ofton for EUR 9.7 mln. The mall, located in the Sisli district in Istanbul, is newly built and provides 4,850 m2 of retail space on the ground level and 200 parking spaces. Sisli is one of the most prominent and affluent districts in the city, with excellent infrastructure and numerous residential developments.
Anchored by a Tansas supermarket, the centre comprises a shopping gallery and a fitness club, and has some 200 apartments on the floor above. The net initial yield after tax and excluding turnover rent amounts to about 7%, VastNed said in a press release.
The mall is 90% let mainly to national retail chains. The rent levels are generally modest, indicated VastNed, at an average of EUR 125 per m2 per annum. The annual gross rental income is expected to amount to EUR 750,000.
The Dutch company said it targets Turkey to account for some 10% of the total portfolio, which is valued at EUR 1.6 bn, or about EUR 200 mln in two to three years. VastNed's ceo Hans Pars said the company targets locally embedded retail space at a modest price that provides substantial upside for the future. 'Our clear aim is to build a retail property portfolio in Turkey which delivers higher returns than available in Western Europe', said Pars.
