NEPI Rockcastle acquires Mammut for EUR 254 mln
South African-listed NEPI Rockcastle, which invests in commercial property in Central Europe, on Thursday said it has acquired a controlling stake in Budapestʼs Mammut shopping mall for EUR 254 million, Hungarian news agency MTI reported.
(Photo by posztos/Shutterstock.com)
NEPI Rockcastle acquired 100% of Mammut 2 and 81% of Mammut 1, the two buildings connected by a pedestrian bridge that comprise the shopping mall.
The mall has 61,300 square meters of gross lettable area and is 89% let. Its tenants include anchors such as CINEMApink, Hervis, H&M, Interspar, Media Markt and Reserved.
"The existing vacant space is primarily due to intense asset management initiatives, a redevelopment of existing units that is currently being undertaken, and the process of acquiring additional retail condominium units in Mammut 1, all of which are expected to significantly improve the net operating income, once completed," NEPI Rockcastle noted.
The mallʼs net operating income now stands at EUR 14.6 mln per year, excluding potential income from vacancies. Annual footfall at Mammut is 15.6 mln people.
The move follows NEPI Rockcastleʼs acquisition a year ago of another shopping mall in Budapest, the Arena Plaza, for EUR 275 mln. The latest acquisition makes the company the largest shopping mall owner in the capital.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.