ACROSS | The European Retail Real Estate Magazine



NEPI Rockcastle announces that, on 21 September 2017, through its subsidiary NEPI Project two EOOD, it has acquired all the issued shares in, and claims against, BULFELD EOOD, the owner of Paradise Center in Sofia, Bulgaria.

The Transaction will be effective upon obtaining approval of the Bulgarian Competition Authority.

This acquisition strengthens NEPI Rockcastle’s position as the largest listed retail real estate company in CEE, and together with the acquisition of Serdika Center earlier this year, its presence in the Bulgarian market.

With a gross lettable area of 82,000 sq m, Paradise Center is the largest retail centre in Sofia, the capital city of Bulgaria. The centre is located in the wealthy southern part of the city, which is undergoing strong development.

Opened in 2013 and benefitting from a corner location at the intersection between two main traffic arteries and direct access to the newly built M2 metro line, Paradise Center has an annual footfall in excess of 10 million visitors.

The mall is let to major national and international tenants such as Bershka, Cinema City, Forever 21, H&M, LC Waikiki, Massimo Dutti, New Yorker, Pull&Bear, Reserved, Sephora, Sport Vision, Sofia Event Center (a conference facility), Stradivarius, Technopolis and Zara.

The centre has a strong food and entertainment area, which includes both a complete fast and slow food line up, a fitness facility with a 25m swimming pool, as well as a playground. Several asset management initiatives, including major improvements to the basement and the terrace level together with enhancements to the tenant mix, will further strengthen its dominant market position.

With a growing population of over 1.32 million inhabitants, Sofia is the economic and cultural centre of Bulgaria and an attractive head office destination for international companies. Benefitting from a developing infrastructure and strategic location, Sofia is a major hub for international railway and automobile transport, with three Pan-European corridors crossing the city.

During the last couple of years, Bulgaria’s economy has shown robust growth, with GDP growth of 3.6% in 2015 and 3.3% in 2016. Growth is forecast to remain strong at 2.8%-2.9% per year in 2017-21 (compared to a forecast growth of 1.4%-1.5% in the European Union), as domestic and external demand continues to increase (according to the Economist Intelligence Unit).

The aggregate purchase price for the Transaction is EUR 252.9 million, resulting in an acquisition yield of approximately 7%. The acquisition has initially been funded by a combination of the Company’s existing cash resources and debt facilities, combined with sale of listed securities held, in line with management’s strategy of decreasing this exposure.



fb-art 150

Share this article

Polish retail market remains strong in 2017

Results comparable to 2016. 20 new foreign brands and over 330,000 sq m of shopping centre space delivered to market. Retail transaction volume exceeded €1.9 billion.

Cromwell Property Group signs 40-year lease at St John’s Shopping Centre in Leeds

Cromwell Property Group, the global real estate investment manager, has signed a 40-year lease with Q-Park, the leading European parking operator, on a 282-space multi-storey car park at St John’s Shopping Centre in Leeds.

The Premium Business Program at Christmasworld in Frankfurt

Top keynote speakers and networking opportunities to put you ahead on the knowledge front.

Orchard Street makes £35 million Hermiston Retail Park acquisition

Orchard Street Investment Management, the specialist commercial property investment manager, has acquired Hermiston Retail Park in Consett, County Durham on behalf of St James’ Place UK Plc for £35.31 million from Aviva Investors. The purchase price reflects a net initial yield of 6.25%.

Silverton appoints Oliver Burk as Senior Asset Manager

Oliver Burk, MRICS (44) is the new Senior Asset Manager at the Frankfurt-based Silverton Group.

Unanimous positive opinions from Unibail-Rodamco’s works councils regarding the Westfield acquisition

Pursuant to the announcement made on December 12, 2017, that Unibail-Rodamco SE has entered into an agreement to acquire Westfield Corporation, the Groups announce that Unibail-Rodamco has obtained the unanimous positive opinions of its works councils in accordance with Clause 2 of the Implementation Agreement dated December 12, 2017.