Swede deal as Starwood buys shopping centres
STARWOOD Capital Group, a real estate investing firm led by Barry Sternlicht, acquired seven Swedish shopping centres from a unit of Kooperativa Forbundet for about €450m.
Starwood, based in Greenwich, Connecticut, in the US, partnered with Stockholm-based minority investor Vencom Property Partners to buy 205,000sqm of retail space in Sweden's four largest cities: Stockholm, Gothenburg, Malmo and Uppsala, according to a statement. Three of the locations include building rights to an additional 70,000sqm total.
The acquisition marks Starwood Capital's first in Sweden since billionaire Mr Sternlicht founded the firm in 1991.
Coop, Sweden's second-largest supermarket chain, is the anchor tenant at each location, which are 96pc leased. Other tenants include XXL, MediaMarkt, H&M and Systembolaget.
Starwood, which focuses on global real estate, has more than $29bn in assets under management.
The company said it purchased a majority interest in seven regional malls in the US, with 7.9 million square feet of retail space, from Sydney-based Westfield Group for €1.2bn.
Vencom invests in Nordic real estate. Kooperativa Forbundet is a consumer co-operative that operates grocery stores. Its property arm KF Fastigheter is selling the shopping centres.
German banks Aareal Bank and Helaba jointly arranged financing. CBRE Group and Lindahl advised Starwood and Vencom on the deal.