• GTC and Polnord to jointly develop a modern mall in Warsaw
• The shopping centre will be constructed on a 7.5 hectare site in Wilanów
• The opening of the mall is planned for 2013
Globe Trade Centre S.A. (GTC) and Polnord S.A. (Polnord) signed today a set of agreements pursuant to which each of them will become an owner of 50% of shares in a SPV, which will own 7.5 ha of land in Wilanów district of Warsaw.
In March 2010 GTC and Polnord agreed main terms of this transaction and signed a Letter of Intent.
GTC and Polnord will develop a modern shopping and entertainment centre on the plot, that is currently owned by Polnord.
The mall is planned to comprise approx. 60 000 sqm of net retail space. The construction of the mall in Wilanów is expected to start within next 12 months, after obtaining a building permit. The total cost of investment, including land, is estimated at EUR170m.
The primary catchment area of the mall includes the most affluent housing districts of Warsaw such as Wilanów and Sadyba, as well as prestigious resort area in Konstancin.
“I am very pleased to see that GTC and Polnord have been acting like partners from the very beginning of our negotiations and I am confident that together we will successfully develop a landmark shopping facility in Warsaw” – said Eli Alroy, the Chairman of GTC Supervisory Board.
GTC will have a leading role in the development and management of the project with a full support of Polnord. The value of the mall upon completion is estimated at EUR 250m.
GTC was the developer of Galeria Mokotów in Warsaw – the first and the most prestigious shopping centre in Poland. In Kraków GTC developed Galeria Kazimierz and in October 2009 the company opened Galeria Jurajska in Częstochowa. GTC owns Avenue Mall in Zagreb and three small-size shopping centres in Romania. GTC has also shopping malls under various stages of development in Czech Republic, Romania , Bulgaria and Croatia.
Polnord is one of the most experienced companies in the construction and developer market in Poland, listed on the WSE. It commenced business activity its in 1977 as an export general contractor. Today Polnord is active in residential, office, hotel and retail sectors. The total land bank of the company comprises 1 million sqm of building rights.
“I’m very satisfied that Polnord and GTC signed this agreement. Such retail development will significantly increase the standard of living for residents of Miasteczko Wilanow. It will also positively impact the local labour market, creating new jobs” – said Ryszard Krauze, the Chairman of Polnord Supervisory Board. ”GTC is a renowned and reputable partner. We hope that conclusion of this agreement will lead to potential co-operation of our firms in further new projects.”
The final closing of the transaction is subject to antimonopoly approval and fulfillment of other conditions.
GLOBE TRADE CENTRE S.A. (GTC S.A.) is one of the leading developers in the New Europe and was established in 1994 in Warsaw. Currently it operates in Poland, Hungary, the Czech Republic, Romania, Serbia, Croatia, Slovakia, Bulgaria, Russia and Ukraine.
GTC develops projects and manages completed properties in three key sectors of real estate: office buildings and parks, retail and entertainment centers and residential sector.
GTC has developed about 750 000 sqm of net space and currently is the owner of completed commercial property with a combined net area of about 455 000 sqm. GTC also holds an impressive portfolio of investment at various stages of development which will facilitate the construction of 1.8 million sqm of commercial and residential space. GTC’s total assets exceed EUR 2.6 billion.
GTC’s shares are listed on the Warsaw Stock Exchange on the prestigious WIG20 index. The company’s assets are also included in the international MSCI index and Dow Jones STOXX Eastern Europe 300 index, as well as the GPR250 index which comprises the 250 biggest and most liquid real estate companies of the world. Among GTC’s shareholders are many of the biggest Polish and international institutional investors.