Immofinanz adds eight more Stop Shop retail park locations to its portfolio, the company said. Four transactions have already been finalized and the remainder are scheduled to close in Q1 2021.
“Six of them are fully leased retail parks in Serbia and the Czech Republic, with an area of approximately 43,000 sqm. They were purchased from Mitiska REIM, a Belgian investor specializing in this type of commercial real estate. In addition, Immofinanz completed the purchase of the fully of a rented retail park (approx. 5,500 sq m) in Voitsberg, Austria. The portfolio in Croatia, in turn, will increase by one property in the city of Ludbreg. The expected annual rental income from the newly acquired properties is approximately EUR 5.7 million. With a gross return rate at 7.7%, the average profitability of the acquired retail parks is higher than the average for the Stop Shop portfolio – 7.4% in the third quarter of 2020 “, stated in the press release.
The Stop Shop portfolio owned by Immofinanz currently includes 98 locations out of nearly 720,000 m2, which are located in nine countries. The book value of this portfolio is approximately EUR 1 billion. The company is getting ready for further acquisitions and development projects, it also stated.
“Our Stop Shop is a cost-effective, high-performance and crisis-resistant retail format. High brand standardization allows us to offer tenants attractive rents and running costs. Another important factor is our focus on basic necessities, which are very popular with consumers in difficult economic times. Our retail parks proved their worth during the pandemic, we saw a very rapid increase in the number of Stop Shop visitors after the end of the first lockdown “- said COO Dietmar Reindl.
“Our plans for the Stop Shop brand include growth to 140 locations in the medium term, with our focus on our markets in Central and Eastern Europe, Southeast Europe and Austria, and selectively entering other Western European countries,” recalled Reindl.
Real estate acquisitions in Austria, the Czech Republic and Croatia have been finalized. The retail park in Voitsberg, which has been purchased from a local developer, increases the number of stop shops in Austria to 14 locations from approximately 67,000 m2. Two retail parks in the Czech cities of Prague and Litvinov have a total area of 14,700 m2. They increase the country’s Stop Shop portfolio to 12 locations from almost 88,000 m2, it listed.
Immofinanz entered the Croatian market with its Stop Shops at the end of 2018. Along with the newly acquired property, the company has three Stop Shops with an area of 16,400 m2. Further projects are under preparation.
The purchased properties in Serbia include locations in Leskovac, Sabac, Sombor and Zajecar with approximately 28,200 m2. The closing of the purchase transaction is planned for the first quarter of 2021. After this purchase, the Serbian portfolio of the Stop Shop brand will comprise a total of 14 properties with an area of approximately 121,000 m2.
“All the acquired properties are characterized by an attractive tenant mix which is particularly resistant to the crisis. The main tenants who are also present in many other Stop Shops include: Spar, dm, Deichmann, Intersport, Takko and KiK. Yellow colors, characteristic for the Stop Shop brand, will appear “.
Stop Shop is a brand for Immofinanz retail parks located in Central and Eastern Europe. The brand is often described as a local supplier located in areas ranging from 30,000 to 150,000 inhabitants, offering a wide range of products with a good value for money. Stop Shops focus on cost-conscious “smart shoppers” for whom easy and quick access is important. As of September 30, the level of Stop Shop lease was 98.2%.
The Stop Shop portfolio, including recent acquisitions, includes 98 retail parks in nine countries: Slovakia (16), Slovenia (14), Hungary (14), Austria (14), Serbia (14), Czech Republic (12), Poland (10 ), Croatia (3) and Romania (1).
