The German retailer Metro AG has sold off its three Cash & Carry Makro stores in Prague, part of a regional transaction that’s seen it liquidate 11 assets. The sale was carried out by Metro Properties, Metro’s real estate company, in a deal worth more than €250m under which it will continue to lease all of the properties. Five of the properties are located in Poland, while the remaining three are all in Budapest. The buyer is FLE GmBH, which is a subsidiary of French LFPI Group acting on behalf of an AIF regulated fund.
“Real estate markets are close to historical low yields. Many of our assets have been fully developed. Taking advantage of a healthy real estate market, we can capitalize on our strong operational standing, thereby crystallizing value to make new investments and pursue further projects,” said Jürgen Schwarze, CFO Metro Properties. “The sale of selected assets from the real estate portfolio in the Central Eastern European region is one example of our global portfolio strategy. We unlock real estate value built up and fostered by continuous successful operations.” In all three jurisdictions TPA Group has undertaken financial due diligence and tax advice for FLE GmbH. Legal services for the purchaser were rendered by Allen & Overy in Poland, Novalia in the Czech Republic and DLA Piper in Hungary. On the sale side, Metro Properties was advised by PRK Partners (legal), PwC (financial) and Colliers Czech Republic (broker services).
