Citycon to Acquire Tumba Centrum Shopping Centre Nearby Stockholm
Today, Citycon signed an agreement to buy all Tumba Centrumfastighets AB shares
from Doughty Hanson & Co for SEK 550 million (around EUR 60.8 million). The
company owns Tumba Centrum, a shopping centre in the municipality of Botkyrka,
south of Stockholm. On the acquisition date, the shopping centre's initial net
yield on the purchase price stands at 5.4 per cent. The deal is expected to close
by the end of January 2007.
'This acquisition is our 13th in Sweden and it is in line with our growth
strategy and will strengthen Citycon's market position in the shopping-centre
sector in Sweden and the Stockholm region', describes Petri Olkinuora, Citycon
Oyj's CEO. 'Tumba Centrum is a lively, local centre with an excellent location
and should provide good development and refurbishment opportunities, which, we
believe, will also result in improved yield in the future', he continues.
The property includes not only retail premises but also apartments and office
premises, which is typical of shopping centres in Sweden. With a total leasable
area of around 31,000 square metres, some 18,600 square meters of which are
retail premises, the shopping centre has around 30 retail outlets. Anchor tenants
are the fashion and clothing chains KappAhl, H&M and Dressmann while ICA and COOP
represent the grocery business. In 2005, the shopping centre recorded
approximately 2.9 million customer visits and total sales of over SEK 310 million
(including VAT). Currently at 100 per cent, Tumba Centrum's occupancy rate has
remained high since 2000. The shopping centre has parking facilities for around
Consisting of eight buildings, Tumba Centrum was constructed in stages between
1952 and 2002. A commuter rail station and bus station are located adjacent to
the centre and thanks to its excellent connections Tumba Centrum is a major
commuter hub for those working in the Stockholm region. Located in the south of
the Botkyrka municipality, around 25-minutes by rail from the Stockholm Central
Railway Station, the shopping centre has a catchment area with a population of
around 55,000, a number which is predicted to grow.
'It will also be possible to refurbish and extend the shopping centre, with a
view to strengthen Tumba Centrum's position further and to better serve the
centre's widening customer base. We intend to take immediate measures to extend
and develop the property', adds CEO Olkinuora.
For more information on the acquired property, please visit www.tumbacentrum.se.
Helsinki, 15 December 2006
For further information, please contact:
Petri Olkinuora, CEO, +358 400 333 256
Citycon is the Finnish market leader in the shopping centre property business. It
owns a total of 19 shopping centres in the Helsinki Metropolitan Area and other
regional centres of Finland, and, following the closing of the Tumba Centrum
acquisition, 13 shopping centres and retail properties 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
In addition to the shopping centres, Citycon owns 52 supermarket and retail
premises in Finland.
Helsinki Stock Exchange