by Ákos Budai | Investment

Slovak investor IAD Investments, acting through its fund Prvý realitný fond o.p.f., has purchased Laugaricio Shopping Centre in Trenčín, Slovakia. The original owners were private investors represented by Mint Investments. This sale, the largest property transaction in Slovakia this year, was brokered by Cushman & Wakefield. 


Laugaricio, which opened its doors in 2009, is the Trenčín region’s dominant shopping centre, catering to a catchment area of some 250 000 people living within a 30-minute drive-time radius. Laugaricio Shopping Centre hosts more than 120 brands, with big hitters including C&A, CCC, H&M, New Yorker and Reserved, over an area of 26 000 sqm, and has a further 15 000 sqm available for expansion.
 
“Having previously invested in office buildings, the Laugaricio acquisition is our first foray into the retail segment. This acquisition was financed by a syndicate of Slovenská sporiteľňa and Komerční banka,” says Marián Fridrich, transaction manager at IAD Investments.
 
“The conditions in place at Laugaricio Shopping Centre and its potential for further development make it an excellent opportunity as we seek to continue diversifying our fund portfolio,” adds Vladimír Bolek, portfolio manager and board member at IAD Investments.

Laugaricio’s initial developer was the Mint Investments Group, which has managed the centre from day one and will continue to do so for the new owner.
 
The purchaser was represented by MiddleCap Partners, as the transaction adviser, and Havel, Holásek & Partners, which provided legal advice. The transaction went ahead on 20 December 2016.
 
“This sale dovetails neatly with investors’ broader interest in regional shopping centres and just goes to show that domestic capital can compete with Western Europe’s institutional players,” says Alexander Rafajlovič, Associate at Cushman & Wakefield’s investment team, which represented the seller Mint Investments in the sale.