East Capital Real Estate has sold Mustamäe Keskus shopping centre in Tallinn, Estonia
East Capital Real Estate has sold the Mustamäe Keskus shopping centre in Tallinn. The property has been held by the East Capital Baltic Property Fund II since 2016.
East Capital Real Estate acquired the then newly developed centre in 2016 and has managed and developed the property since that time. The 21,000 square meters centre has been, and still is, a local pioneer in terms of a modern concept with a focus on leisure, entertainment and services rather than the traditional shopping experience. Visitors are offered all the essential services and shopping but also a large selection of restaurants, cafes, top-awarded cinemas and indoor gym. Over the years, the centre has become one of the most popular meeting places for the residents of Mustamäe and due to its focus on essential shopping and a wide offering of take-away food it has also done well throughout the Covid pandemic.
East Capital Real Estate has continued to develop the concept of the centre since its completion with a focus on improving accessibility by foot and public transport, the mix of services best suited for the local community and its needs as well as increasing the sustainability of the building and its operations overall. During the holding period the property has achieved a “Very Good” BREEAM In-Use sustainability certificate.
Albin Rosengren, Partner, East Capital Group, commented:
“On one hand we are sad to now hand over such a good and well-functioning property to its new owner but on the other hand we are very proud of the work we have done to further increase the competitiveness of the centre. We thank all our tenants for the support and contributions they have offered over the years and most recently during the covid pandemic. Despite the restrictions and challenges we have not seen any increase in vacancy and in some cases we even saw an increased turn-over. Mustamäe Keskus is a high-quality shopping and entertainment centre with a strong competitive advantage and strong tenants like Rimi, Apollo cinema and bookstore, MyFitness sports club and a number of different restaurants. We see the centre doing very well in the future.”
The process was advised by Redgate Capital in cooperation with Newsec Baltics, on the seller’s side.
Albin Rosengren, Partner, East Capital Group
+46 8 505 88 550, firstname.lastname@example.org