The three properties have been acquired at an initial yield of 8% and offer attractive return prospects. Hammerson owns a 47% stake in VIA Outlets and the newly purchased properties and will contribute €57 million towards this acquisition.
Alcochete is situated near the Portuguese capital, Lisbon, and comprises over 55,700 sq m of retail space with over 170 stores, including brands such as Diesel, Burberry, Carolina Herrera, and Armani. It is the dominant retail factory outlet center in the region and in 2014 will generate an expected sales density of almost€3,000 per sq m.
Kungsbacka in Sweden is a 20-minute drive to the south of Gothenburg, the country’s second-largest city. The 16,000-sq-m outlet includes retailers such as Nike and Hugo Boss and the prosperous Kungsbacka region has the highest level of average income in western Sweden.
The final outlet in the portfolio, Excalibur, is located in the Czech Republic, near the Austrian border. With 21,000 sq m of retail space, the scheme is currently dominated by sports brands.
David Atkins, Chief Executive of Hammerson said: “This acquisition increases our scale in European outlets, which we are confident will deliver strong returns.”