View of Permoser Eck in LeipzigPhoto: ARCADIA Investment Group

The Leipzig ARCADIA Investment Group brokered the sale of a special purposes vehicle (SPV) for the “Permoser Eck” shopping centre under an assignment mandate. The shopping centre has a total rental area of around 5,600 m². The seller of the SPV is a Dutch project developer and the purchaser is a private investor from North-Rhine Westphalia. The purchase price for the partnership shares was tacitly agreed upon between the parties.

The “Permoser Eck” shopping centre, which was built in 1994/1995, is located in the Schönefeld part of Leipzig and was acquired by the Dutch project developer in 2008, who subsequently carried out comprehensive renovations and modernisation work on the property. About 3,800 m² of the entire rental square footage is dedicated to selling space. Added to this is the property’s parking lot which contains 100 ground level parking spaces at the front of the property. The two anchor tenants, Edeka and Tanzschule Jörgens, are already well-established on the property. The purpose of the renovation process, accompanied by ARCADIA Investment Group for the owner, was to entrench an attractive mix of tenants in the newly-modernised mall as well as the establishment of an excellent medical centre.

According to Alexander Folz, Managing Director of ARCADIA Investment Group, the process could already be substantially completed before the sale of the partnership shares. ARCADIA has recently concluded long-term rental agreements totalling some 1,600 m² rental space for numerous small-sized units. Amongst these is about 780 m² retail space for the kitchen retailer Küchen Trend Leipzig GmbH, EP Electronic Partner and a pharmacy. Likewise a further 360 m² of office space was newly leased as well as 270 m² space for a general practitioner’s office and a nursing service. In addition the only two residential units in “Permoser Eck” with a rental space of about 160 m², was also newly leased. Tanzschule Jürgen, a longstanding tenant of “Permoser Eck”, has expanded its existing rental area to a total of 582 m² and has extended its lease for the entire space for a further 10 years.

The immediate vicinity of the property has also recently boasted a substantial development: A kindergarten as well as a care home was newly built on Volksgartenstraße. In 2016 already, the AZURIT old age home with room for 146 occupants was opened on Poserstraße. There are currently plans for a health and beauty store between the home and “Permoser Eck”. Finally, the start of constructions for the further expansion of the environmental research facility on Torgauer Straße is to be carried out – with 4,600 m² of usable space for offices and laboratory rooms employing around 170 people. “Such a comprehensive new development,” believes Alexander Folz, “will have a profound impact on the lives, local amenities and catering trade in the area during the next few successive months. “Permoser Eck” shopping centre is now ideally geared for this new circumstance.”

ARCADIA Investment Group has focused its specialisation on the development of property used for retail and residential properties as well as car parks and underground car parks throughout the entire Germany. In addition to activities relating to its own portfolio, it has also implemented a host of projects in the framework of joint ventures – amongst others in close collaboration with numerous national and international companies. One of the company’s core business functions is also the optimisation, maintenance and expansion of the property portfolio of family businesses with the utmost care and confidentiality. ARCADIA Investment GmbH as the holding company for the group currently employs 19 people and is developing areas with a magnitude of more than 250,000 square meters. The accompanying project volume amounts to round 200 million euro.

For enquiries please contact Herr Ralf Bettges, Press and Public Office at 0172 – 233 73 90 Further information about ARCADIA Investment Group can be found at www.arcadia-invest.de.

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