CITYCON OYJ Stock Exchange Release 16 June 2006 at 9.50 a.m.
Citycon to Acquire a Shopping Centre in Helsinki
Citycon will acquire the Columbus shopping centre in Vuosaari, Helsinki. Debt-
free purchase price is EUR 80.1 million which corresponds to an initial net yield
of 5.8%. The shopping centre will be extended by 7,500 square metres whereafter
its gross leasable area totals around 20,000 square metres. The closing of the
acquisition is expected to take place by mid July.
Columbus is a local shopping centre anchored by hypermarket Citymarket and S-
Market. Other main tenants include Lindex, Seppälä, Alko and Hesburger. The total
number of tenants is 60. Last year, the shopping centre recorded sales of
approximately EUR 65 million and attracted around 7 million customers. Citycon
sees that the centre has substantial development potential and will immediately
start the related development activities which will result in higher return on
investment.
As the only retail complex in the Vuosaari area, Columbus also serves consumers
in the large neighbouring region. Vuosaari will develop strongly over the next
few years upon the completion of the Vuosaari harbour and new residential areas
and the consumer demand is expected to increase in the area. Vuosaari now has
around 30,000 inhabitants, and additional homes for 5,000 people are being built
in a new residential area in Aurinkolahti.
'This acquisition will further strengthen Citycon's position as the market leader
in shopping centre business in Finland. Columbus is very well located close to
the underground station in the strongly developing Vuosaari area, and Citycon's
development activities will contribute to the viability of the area,' states
Petri Olkinuora, Citycon's CEO.
For more details on the purchased property, please visit the company's website.
Helsinki, 16 June 2006
CITYCON OYJ
Board of Directors
For further information, please contact:
Petri Olkinuora, CEO
Mobile +358 400 333 256
Harri Holmström, Chief Investment Officer
Mobile +358 40 845 5726
Citycon is the Finnish market leader in the shopping centre business. After
closing of the Columbus acquisition Citycon owns a total of 19 shopping centres
in the Helsinki Metropolitan Area and other regional centres of Finland, and nine
shopping and retail centres in the Stockholm and Gothenburg regions in Sweden. In
the Baltic countries, Citycon owns the Rocca al Mare shopping centre in Tallinn,
Estonia and the Mandarinas shopping centre in Vilnius, Lithuania.
In addition to shopping centres, Citycon owns 127 supermarket and retail premises
in Finland.
Distribution:
Helsinki Stock Exchange
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www.citycon.fi