IMMOFINANZ adds Italy as new market to STOP SHOP portfolio
IMMOFINANZ is continuing the expansion of its STOP SHOP retail park brand by entering a new market in Western Europe – Italy, according to a press release sent to the Budapest Business Journal.
The first acquisition in the country is the fully occupied Parco Fiore in the north Italian city of San Fior with roughly 27,000 sqm of rentable space. The seller is the international investment bank Barings, which held the property in the European Core Property Fund Italy managed by Kryalos SGR. The sale price totaled approximately EUR 35 million.
“The Italian market is a perfect addition and a further, future growth driver for our successful European STOP SHOP retail platform. With a population of over 60 million, Italy is one of the largest countries in Europe. An extensive market study showed that the available retail structures combined with the purchasing power and consumer behavior, above all in central and northern Italy, create significant potential for establishing modern retail parks under the STOP SHOP brand. Our plans call for ten locations with an investment volume of up to EUR 250 million by 2024," explained Dietmar Reindl, COO of IMMOFINANZ, on the strategy.
“The latest crisis again confirms one important point: Retail parks with an emphasis on everyday products, excellent transportation connections and a diverse tenant mix are the clear winners and very popular with our international tenants and with customers. Italy, where this product has not yet been established in the quality segment, offers numerous possibilities," he added.
The retail park, which will operate as the STOP SHOP San Fior, is located 37 km north of Treviso and 60 km north of Venice, in the heart of the Veneto region. The catchment area within a radius of 30 minutes by car has nearly 100,000 residents. The Veneto region is one of the strongest economic and high-income regions in Italy with purchasing power substantially above the average for the country and also for the entire EU.
The property, with its 1,500 parking spaces, is located along the SS 13 Pontebbana state road which leads from Venice to Udine and Tarvis and then on to Austria. The retail park was completed in two phases during 2017 and 2019 and has a very attractive tenant mix with international retailers like C&A, Takko, MediaWorld, Decathlon, Roadhouse Grill, and Burger King plus well-known Italian brands that include Mega (supermarket), Globo and Terranova (fashion) and Casa Tua (furniture). The remaining term of the rental agreements (WAULT) totals roughly 7.7 years.
One highlight of this retail park is the photovoltaic equipment that is currently under construction and will feed green electricity into the public network. IMMOFINANZ launched a project in 2019 to install photovoltaic equipment at STOP SHOP retail parks, whereby the most widespread installation is currently taking place in Austria.
This latest acquisition will increase IMMOFINANZ’s STOP SHOP portfolio to 109 locations (including development projects) in 10 countries. The 99 standing investments have roughly 750,000 sqm of rentable space and a carrying amount of approximately EUR 1.1 billion.
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