LONDON—Sonae Sierra and Madison International Realty have reached a deal for Madison to acquire a 25% stake in the Sierra Portugal Fund, which owns interests in nine retail properties, from Sonae Sierra. Terms were not disclosed; the transaction marks Madison's entry into the Portuguese market.
Following the transaction, Sonae Sierra retains a 22.501% stake in the fund, which was created in 2008. Sonae Sierra will continue to manage both the fund and the individual assets within it.
Those assets include nine operating shopping centers within Portugal, including 8ª Avenida, AlbufeiraShopping, ArrábidaShopping, GaiaShopping, LeiriaShopping, LoureShopping, Centro Comercial Continente de Portimão, RioSul Shopping and SerraShopping. All nine are dominant and well located within their respective submarkets, and the portfolio is currently leased to a diversified mix of international and domestic retailers. Occupancy across the portfolio is over 96%.
“The acquisition of a 25% stake in the Sierra Portugal Fund is illustrative not only of our confidence in the Portuguese retail market but also our ability to diversify on behalf of our investors, acquiring partial ownership in prime markets in the US, UK and both Southern and Western Europe,” says Derek Jacobson, managing director at Madison, a private equity firm headquartered in New York City and London. “We look forward to working with Sonae Sierra as a fully aligned co-owner and manager and sitting alongside a number of other blue-chip investors while continuing to create value in a rapidly improving market.”
Sonae Sierra's CEO, Fernando Guedes Oliveira, says Madison's investment in the Sierra Portugal Fund “reflects the quality and positive performance of our retail portfolio. It underpins our ability to create value through managing shopping centers as well as reaffirming our ongoing confidence in the Portuguese market.”
Last month, Sonae Sierra and investment partners Foncière Euris and Rallye sold 91% of their interest in the Weiterstadt, Germany shopping center LOOP5 to Deutsche Asset Management. Terms were not disclosed; Sonae Sierra will retain a 9% stake and continue managing the property.
LONDON—Sonae Sierra and Madison International Realty have reached a deal for Madison to acquire a 25% stake in the Sierra Portugal Fund, which owns interests in nine retail properties, from Sonae Sierra. Terms were not disclosed; the transaction marks Madison's entry into the Portuguese market.
Following the transaction, Sonae Sierra retains a 22.501% stake in the fund, which was created in 2008. Sonae Sierra will continue to manage both the fund and the individual assets within it.
Those assets include nine operating shopping centers within Portugal, including 8ª Avenida, AlbufeiraShopping, ArrábidaShopping, GaiaShopping, LeiriaShopping, LoureShopping, Centro Comercial Continente de Portimão, RioSul Shopping and SerraShopping. All nine are dominant and well located within their respective submarkets, and the portfolio is currently leased to a diversified mix of international and domestic retailers. Occupancy across the portfolio is over 96%.
“The acquisition of a 25% stake in the Sierra Portugal Fund is illustrative not only of our confidence in the Portuguese retail market but also our ability to diversify on behalf of our investors, acquiring partial ownership in prime markets in the US, UK and both Southern and Western Europe,” says Derek Jacobson, managing director at Madison, a private equity firm headquartered in
Sonae Sierra's CEO, Fernando Guedes Oliveira, says Madison's investment in the Sierra Portugal Fund “reflects the quality and positive performance of our retail portfolio. It underpins our ability to create value through managing shopping centers as well as reaffirming our ongoing confidence in the Portuguese market.”
Last month, Sonae Sierra and investment partners Foncière Euris and Rallye sold 91% of their interest in the Weiterstadt, Germany shopping center LOOP5 to Deutsche Asset Management. Terms were not disclosed; Sonae Sierra will retain a 9% stake and continue managing the property.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.