Echo Polska Properties today announced the conclusion of the acquisition of three retail assets located across Poland from real estate funds managed by Blackstone for €141.60 million. The transaction was originally announced on 1 February 2017.
CEO Hadley Dean says: “We are excited to boost our retail portfolio with another three regionally dominant shopping centres in line with our strategy of becoming Poland’s retail champion.” The centres have catchment areas in excess of 150 000 inhabitants, easy access by road and public transport and are located in cities which are commercial, tourist or industrial hubs with populations ranging from 175 000 to 360 000.
The established centres are the 23 039m² Galeria Twierdza Shopping Centre in Kłodzko (Southern Poland) as well as the adjacent plot with a Broaster Chicken Drive restaurant, Galeria Twierdza Shopping Centre in Zamość (23 785m²; South-Eastern Poland) and Wzorcownia Shopping Centre in Włocławek (25 629m²; Northern Poland). Having been operational since 2009 (Wzorcownia and Twierdza Kłodzko) and 2011 (Twierdza Zamość), respectively, they boast a diverse tenant mix with anchor tenants including LLP Group, H&M, Rossmann, Carrefour and Cinema 3D. Since the initial announcement new tenants to the centres include electronic goods store Wi-Store, shoe retailer Sneakers by Distance and Polish coffee shop chain So! Coffee in Wzorcownia, as well as fashion retailer Greenpoint in Galeria Twierdza.
Galeria Tęcza Shopping Centre in Kalisz will not be acquired as originally announced due to the anti-monopoly finding as EPP already owns Galeria Amber in Kalisz and the purchase of an additional dominant centre was regarded as anti-competitive.
Dean concludes: “This move aligns with our strategy of investing in dominant centres in major Polish cities where we don’t yet have a presence. Leveraging Poland’s significant retail potential we are seeking to create a leading and sustainable Polish retail portfolio and thereby leverage our scale and influence.”
Read the SENS announcement here: EPP – Acquisition of the Blackstone managed retail property portfolio – Full SENS Announcement