(Morgan Stanley Real Estate Investing Acquires Metropolis Mall in Moscow )
A real estate fund managed by Morgan Stanley Real Estate Investing (MSREI) today announced the acquisition of the Metropolis Shopping and Entertainment Mall, a 205,000 sqm shopping center in Moscow, from Capital Partners. The acquisition of the Metropolis shopping centre is the largest-ever transaction in the Russian commercial real estate market. Terms of the transaction were not disclosed.
Developed by Capital Partners, Metropolis opened in 2009 and provides 82,000 sqm of fully enclosed retail accommodation and 2,900 parking spaces. It is widely recognized as Russia’s premier retail development with a favorable location in the north-west of the city, along the Leningradskiy highway and next to the metro station Voykovskaya. The shopping centre is part of the institutional quality mixed-use complex Metropolis with 311,000 sqm of gross built area which, apart from the shopping centre, includes three office buildings with a total GLA of approximately 80,000 sqm.
“We are very pleased to be acquiring the Metropolis Mall in Moscow,” said Brian Niles, Head of MSREI EMEA. “The acquisition is consistent with our strategy of investing in high quality assets in Russia, a market that should continue to benefit from strong growth in consumer demand. Together with our previous investment in the Galeria Mall in St Petersburg, we believe the acquisition of Metropolis will deliver operational synergies and strategic benefits associated with owning two prime shopping centers in Russia. We look forward to managing the assets as we seek to deliver additional value to our investors.”
Metropolis is one of the most visited shopping centres in Moscow with approximately 55,000 customers per day in 2012. The complex is fully leased and has a waiting list for retailers wanting to rent space. Major tenants include food hypermarket Karusel and department store Stockmann, along with a large number of international retailers including Michael Kors, H&M, GAP, River Island, New Look, DKNY, Bebe, Jaeger, Uterque, Imaginarium, and Zara. The center also has a multi-screen cinema operated by Cinema Park Deluxe and a bowling alley.
Among the awards received by Metropolis are: the “Best Mixed-use Complex” award in the Commercial Real Estate Awards, Moscow, 2009; “Best new development category extra-large” award in the Russian Council of Shopping Centres; and “Best Shopping Centre of the Year” award in the FIABCI “Prix d’excellence” Awards, 2010.
Capital Partners was advised by JLL.
Source: Company