Vukile Finalises Purchase of 4 Shopping Centres from Unibail for €490M

18 July 2018 – Idealista News

One of the deals of the year in the shopping centre sector is on the verge of completion. The South African fund Vukile, through its Spanish real estate vehicle Castellana Properties Socimi, is in the process of buying four shopping centres from the European giant Unibail-Rodamco for €489 million. Castellana Properties, which also acquired the Habaneras shopping centre in May, is going to add the Bahía Sur, El Faro, Los Arcos and Vallsur complexes to its asset portfolio in Spain, all of which are currently owned by the French company specialising in shopping centres.

Vukile will acquire these assets in a block purchase, although Unibail-Rodamco had been negotiating their sale with other groups, such as Lar España and Klépierre, on an individual basis. The French group, which completed its integration with the Australian firm Westfield in June, has signed a binding offer agreement with Castellana Properties for €489 million. According to sources familiar with the operation, that amount may decrease before the final sale is signed.

From now on, Castellana Properties Socimi will have the following shopping centres in its portfolio: Bahía Sur, which spans 59,300 m2 and is located in Cádiz, close to Puerto Real and San Fernando; El Faro, which spans 66,300 m2 and is located in Badajoz; Los Arcos, located in Sevilla, with a surface area of 44,000 m2; and Vallsur, located in Valladolid with a surface area of 36,000 m2.

The sale of these four assets forms part of the operation carried out last year with Barnasud, the complex acquired by Meridia Capital, a Catalan fund owned by the businessman Javier Faus, who paid Unibail-Rodamco €35 million for the asset (…).

Currently, the group led by Christophe Cuvillier has a portfolio in Spain worth €3.556 billion and receives 126.2 million visitors per year. Those assets account for 10% of its global portfolio.

Castellana Properties, on a mission to acquire shopping centres in Spain

Since its creation, Vukile has been increasing its portfolio of assets in Spain through Castellana Properties in a frenetic way. In July last year, Vukile purchased nine retail parks from Redevco Iberian Ventures, the joint venture between the real estate company specialising in retail Redevco and the funds managed by the global alternative asset management company Ares Management, for €193 million.

Before the end of the year, Castellana Properties formalised the purchase of two retail spaces located in Granada and Murcia for €65 million (…).

The only operation signed by Vukile and Castellana Properties so this year has been the purchase of the Habaneras shopping centre for more than €80 million (…).

Original story: Idealista News (by Custodio Pareja)

Translation: Carmel Drake

Unibail-Rodamco Puts 4 Shopping Centres Up For Sale

14 March 2018 – Eje Prime

Unibail-Rodamco is getting rid of a package of assets that are non-strategic for the group. The French giant has put the following complexes up for sale: Los Arcos, in Sevilla; Bahía Sur, in Cádiz; Vallsur, in Valladolid, and El Faro, in Badajoz, on the basis that they do not fulfil the group’s needs in the Spanish market, according to sources close to the company speaking to Eje Prime.

According to the same sources, “the assets that the group wants to divest are profitable, but due to their location, size and strategy, the firm has decided to get rid of them”. Unibail-Rodamco has entrusted the sale of these four assets to the real estate consultancy firm Cushman&Wakefield.

Sector sources say that, initially, the Equinocio shopping centre in Madrid was also going to be put on the market alongside the other four assets, however, Unibail-Rodamco must have changed its mind at the last moment. The price that Unibail-Rodamco has set for each asset is unknown.

The sale of these four assets forms part of the operation that the firm carried out last year with Barnasud, the complex acquired by Meridia Capital, a Catalan fund owned by the businessman Javier Faus, which paid Unibail-Rodamco €35 million for the asset.

In recent years, the French group has spent a significant amount on the renovation of some of its shopping centres in Spain. The most ambitious project was the Glòries shopping centre, where the company invested €150 million on its complete transformation. In total, the transformation added 12,500 m2 of public space, spread over 8,500 m2 of new streets, 2,500 m2 of urbanisation and pavements around the site and 1,500 m2 of new green space in the 22@ neighbourhood.

Whilst Unibail-Rodamco waits to receive the green light for the expansion of one of its main shopping centres in Spain, La Maquinista, the group’s portfolio in Spain comprises 12 shopping centres, with Barcelona and Madrid as the cities that are home to the most complexes. Whilst in the Catalan capital, the company operates La Maquinista, Glòries and Splau, in Madrid it manages La Vaguada, Equinoccio and Parquesur shopping centres.

In the rest of the country, Unibail-Rodamco has one complex in Valencia, Bonaire; one in Cádiz, Bahía Sur; one in Sevilla, Los Arcos; Vallsur, in Valladolid; El Faro, in Badajoz, and one in San Sebastián, which operates under the name Garbera.

Currently, the group led by Christophe Cuvillier has a portfolio in Spain worth €3.6 billion, which receives 126.2 million visitors per year. These assets represent 10% of the firm’s global portfolio.

Double-digit growth in Spain

The company ended last year in the Spanish market with a net profit of €161 million, up by 10.3% compared to 2016, when the group earned €146 million.

In this way, Spain has become one of the highest growth countries for Unibail-Rodamco. In all of the markets in which it operates, the French company recorded a net profit of €1.35 billion in 2017, up by 5.8% compared to the previous year, when its earnings amounted to €1.27 billion (…).

Original story: Eje Prime (by Custodio Pareja)

Translation: Carmel Drake

GreenOak Buys ‘Sevilla Factory’ Shopping Centre For €15M

10 July 2015 – Expansión

The French-Dutch group Unibail Rodamco, one of the largest shopping centre owners in Europe, has closed the sale of one of its assets in Spain: the Sevilla Factory.

According to the Spanish Association of Shopping Centres, the property, which opened in the year 2000, has a constructed surface area of 20,000 m2, of which almost 16,000 m2 comprises retail space, and is spread across one floor. In addition, the shopping centre has 1,200 parking spaces.

The new owner of the centre is the fund GreenOak. That fund closed one of the largest shopping centre transactions in Spain last year, together with Baupost and the Spanish real estate company Lar, when it acquired seven properties in Madrid, Málaga, Barcelona, Burgos and Alicante. It paid €160 million to Vastned for those properties. According to real estate sources, the fund will now spend €15 million on Sevilla Factory.

Knight Frank has advised Unibail and Deloitte’s RE team has advised GreenOak. Both have declined to comment on the deal.

Background

Through this transaction, Unibail Rodamco continues with its plans to divest its shopping centres in Spain that have lower footfalls. Sevilla Factory receives an average of 1.9 million visitors per year.

To this end, in recent months, the company has sold several shopping centres and has been preparing new deals. In December, Unibail sold the Habaneras shopping centre in Alicante to the US fund Harber for €65 million. Whilst a few months earlier, it sold Albacenter to the Socimi Lar España for €28.4 million.

Now, the French-Dutch real estate company is considering selling Equinoccio in Majadahonda (Madrid) and Barnasud in Barcelona. Unibail Rodamco is also the owner of other shopping centres in Spain, such as La Vaguada and Parquesur in Madrid and Splau in Barcelona.

Meanwhile, GreenOak is one of the funds that is backing Spain most heavily at the moment. Since its creation in 2010, it has invested around $2,500 million. Now it is focused on four key markets: USA, Japan, England and Spain.

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake