Warburg-HIH acquires convenience shopping centre in Vienna

Hamburg-based Warburg-HIH Invest Real Estate has acquired a convenience shopping centre in Vienna for an open-ended institutional fund.

The Citygate centre in the Austrian capital’s Florisdorf district has a total area of around 17,900 m2 and an occupancy level of nearly 97%. The retail units are let to more than 50 tenants with supermarket chain Interspar as anchor, on an average lease term of around seven years.

The vendor of the property was the developer Stumpf group. Financial details were not disclosed.

The centre opened for business in February last year and is part of a wider complex that also includes 1,165 rented flats and condominiums. The total cost of the construction project was around €250 mln.

Andreas Schultz, Managing Director of Warburg-HIH Invest, said: ‘With its great location concept and with above-average demographic growth anticipated, not just in the metropolitan area of Vienna but specifically in the scheme's vicinity, the Citygate shopping centre represents an attractive investment opportunity for medium- and long-term investors like Warburg-HIH Invest.’