Redefine Properties is to expand its Polish property platform with the acquisition of a strategic 25% stake in a €1 billion retail portfolio of 28 assets in Poland. Redefine is co-investing with Pimco and Oaktree Capital Management who will each have 37.5% of the portfolio which is being acquired. Key locations in the portfolio stretch from Warsaw to growing regions across the country like Krakow and Silesia.
Redefine were also strategic partners with Pimco and Oaktree in the acquisition of the initial EPP portfolio.
The 28 retail properties comprise a shopping centre portfolio of nine leading mid-market hypermarket anchored shopping centres with total gross leasable area of 383,000 sqm, the Power Park portfolio of four smaller hypermarket anchored big-box retail centres of 114,000 sqm and a Hypermarket portfolio of 12 hypermarkets with small line shop retail components comprising 181,000 sqm and a DIY portfolio of three standalone DIY stores of 26,000 sqm.
The portfolio was initially developed between 2004 and 2005. There are a number of value add opportunities in the portfolio including the redevelopment/extension of approximately 60,000 sqm.
The transaction prices has not been disclosed as of yet. However, Redefine anticipates a yield of app. 7.7%.
