CBRE brokered the purchase of Novodvorská Plaza shopping centre in Prague 4
CBRE, a global leader in real estate services, announces its first investment transaction of 2019 – an off-market acquisition of Novodvorská Plaza, on behalf of Bluehouse.
Novodvorská Plaza opened in 2006 to serve a large population of several housing estates in Prague 4 and Prague 12: Lhotka, Kamýk, Modřany and Libuš, which, combined, represent over 150 000 residents within a 10-minute public transport radius, which translates into 5 million annual footfall for the centre. The shopping centre is ca. 26,000 sqm and provides 70+ retail units anchored by a Tesco hypermarket, H&M, Lindex, New Yorker, Pepco, CCC, Deichman, Datart and Sportissimo.
“Novodvorská Plaza, which was brought to our attention and recommended as an investment opportunity by the CBRE Retail team, is an excellent expansion of our portfolio in the Czech Republic. The shopping centre is perfectly suited to our funds repositioning strategy and our focus is on further investment into the centre to create a modern retail destination for the surrounding community,” says Iain Fanthorpe at Bluehouse.
This transaction was a great example of CBRE’s full skill set in retail real estate, starting with investment brokerage services and continuing with retail repositioning and redevelopment advisory. A new asset management and leasing repositioning strategy was developed during the acquisitions phase that served as a foundation for the acquisition underwriting of the investor.
Czech retail assets are usually owned by landlords with long term holding strategies and as such they rarely trade. This fact combined with the lack of new supply, leads to the Czech market suffering from a lack of good quality retail investment opportunities. Klepierre sold Novodvorská Plaza after a 12 year holding period, hence we are glad to be able to improve the liquidity of the Czech market by mediating the transaction for both parties.