Eurocommercial acquires Eurostop shopping centre in Halmstad
Eurocommercial, advised by Cushman & Wakefield, has acquired Eurostop, Halmstad in southern Sweden.
The acquisition comprises two separate purchases - a 10,800 square metre Coop hypermarket from Atrium Ljungberg and the 13,600 square metre adjoining gallery consisting of 31 retail tenants including Willy's, H&M, Lindex, KappAhl and Systembolaget from Unibail Rodamco.
Also included in the purchase of the gallery is a 4,160 square metre hotel and ancillary offices and storage.
Although the properties have previously been available individually, this is the first time that it has been possible to acquire them together and thereby unify the ownership and control of the large 126,000 square metre site on which they sit.
By bringing the two parts of the shopping centre under a single ownership, Eurocommercial hopes to be able to carry out a refurbishment and significant extension of up to 20,000 square metres, subject to planning. Discussions are already underway with the municipality as well as with existing and prospective tenants.
Eurostop - the only external shopping centre in Halmstad - is located in a prime retail zone alongside a major retail park whose tenants include City Gross and Biltema. Halmstad is positioned on the west coast of Sweden approximately half way between Malmö and Göteborg. The property is situated on the E6/E20 motorway on the main approach to Halmstad and serves a catchment of almost 200,000 people.
The combined acquisition price is SEK560m, representing a net initial yield of around six per cent.
- How to set up a hedge fund