Credit: Zsar Outlet Village

For shoppers and tourists

Zsar Outlet Village is taking shape in the Finnish city of Vaalimaa. The developer EFRE is working on the project with a holiday resort going up nearby.


Image: Zsar Palace; Credit: Zsar Outlet Village
Image: Zsar Palace; Credit: Zsar Outlet Village

Zsar Outlet Village and Hurppu Horizon Centre, a luxury holiday resort, recently announced a partnership to develop tourist facilities and activities in Virolahti, South-Eastern Finland, by the Baltic Sea. The target is to attract Finnish, Russian, and Asian tourists to the area by offering exclusive shopping, accommodation, and other tourist services. Hurppu Horizon Centre opens its doors in 2018—just a 15-minute drive from Zsar Outlet Village.



Image: Zsar; Credit: Zsar Outlet Village
Image: Zsar; Credit: Zsar Outlet Village

The Finnish retail developer East Finland Real Estate Ltd. (EFRE) is responsible for Zsar. The company announced last October that it has been granted a building permit for its outlet center project. Three quarters of Zsar’s leasable space is now reserved for premium brands and EFRE is readying for the start of construction. The building permit covers the 12,000 sq m of leasable area in phase I, management offices, common areas, and a one-level parking area with 940 parking spaces. Earthworks at the site are already underway. Sami Vainiomäki, CEO of EFRE, explained: “Many international brands now view Finland as a premium market and are establishing themselves here by opening company flagship stores in Helsinki. This means that there is a need for a first premium outlet and we believe we are in the right place at the right time.”


New motorway from Helsinki

Image: Zsar; Credit: Zsar Outlet Village
Image: Zsar; Credit: Zsar Outlet Village

Zsar Outlet Village is located at the gateway between the EU and Russia, halfway between St. Petersburg, the fourth largest city in Europe, and Helsinki. It will offer an opportunity for premium brands to satisfy the significant demand among the 8.5 million Finnish and Russian consumers within a 200-km radius.




Image: Zsar; Credit: Zsar Outlet Village
Image: Zsar; Credit: Zsar Outlet Village

In 2014, there were three million border crossings by Russians at the Vaalimaa checkpoint, just 300 meters from Zsar Outlet Village. 74% of them state shopping as their primary reason to travel to Finland. The outlet center expects to optimize this opportunity for premium brands by creating a great retail environment. A new motorway from Helsinki directly to the border is due to open in 2017, reducing the driving time from the capital to the region to just 75 minutes.



Partnership with FSP

Image: Zsar mall to the East; Credit: Zsar Outlet Village
Image: Zsar mall to the East; Credit: Zsar Outlet Village

EFRE has partnered with FSP Retail Business Consultants, a leading retail property consultancy, in assessing the feasibility of the project. “We expect Zsar Outlet Village to produce sales densities of €7,800/sq m, which would place it in the top 10 of sites in Europe by sales density,” commented Ken Gunn, Director of FSP. When will it all begin? The 20,000-sq-m development will open its aforementioned 12,000-sq-m first phase in 2017, featuring 65 stores and restaurants.




Sign up for our ACROSS Newsletter. Subscribe to ACROSS Magazine.

Management MORE

Newsec recruits Patrik Attemark as new CEO

Newsec will gather their present operations in seven countries under a single organization, led by Patrik Attemark who has been recruited as new CEO as of December.

Time Retail Partners appoints James Hessey to the Investment Team

TRP has announced the appointment of James Hessey to its growing investment team, joining Investment Director, Antony Nickalls, and CEO, Rob Wingrave.

Aliya Mogireva and Daniel McKillop join transaction team at BNP Paribas

The Transaction Team of BNP Paribas REIM Germany in Munich has two new members: Aliya Mogireva as Real Estate Transaction Manager and Daniel McKillop as Real Estate Analyst.

Hahn Group appoints Daniel Löhken as new Executive Board member

The Supervisory Board of HAHN-Immobilien-Beteiligungs AG has appointed Daniel Löhken to the Executive Board, effective January 1, 2022. Together with CEO Thomas Kuhlmann, he will form the company's two-member Executive Board in the future.

Redevco creates NextGen Board for new future-proof strategy

Redevco has created a NextGen board with eight members representing various functions across the organization and each of its six European offices. NextGen’s remit will include offering a fresh perspective on the company’s vision, mission, strategy, and culture.

Lukáš Netolický appointed Partner at Cushman & Wakefield

Cushman & Wakefield promotes Lukáš Netolický from the Office team to Partner.