News Article investment MAS Prime Kapital retail Romania shopping
by Property Forum | Investment

MAS Real Estate has entered into an agreement with PKM Developments, a joint venture with its peer Prime Kapital, to buy a property portfolio consisting of nine shopping value centres in Romania for €112.97 million. The centres are being held by PKM Developments through three subsidiaries - PK Black, PK Indigo and PK Red.

The portfolio comprises Roman Value Centre, which was opened in November 2018, Baia Mare Value Centre that opened in December 2018 and a further seven value centres each adjacent to a Kaufland supermarket, totalling 27,833 sqm of GLA, completed throughout 2017 and 2018. All underlying assets will continue to be managed by Prime Kapital, MAS.
The acquisition complements and expands MAS Real Estate's income-generating portfolio in Romania, enhancing its footprint in Central and Eastern Europe (CEE). Strong growth in rents and tenant turnover are expected as these newly developed centres mature in the coming years, supported by a continuation of strong macroeconomic fundamentals within the region.
In total the nine assets comprising 67,959 sqm of GLA are expected to deliver €8.15 million of annual net operating income.
PKM Developments was established by MAS Real Estate and Prime Kapital in March 2016. Prime Kapital, with offices in Romania, Bulgaria, the Netherlands, Luxembourg and the Isle of Man, is focused on retail and residential segments in CEE.