Today, 30 November 2011, Citycon Oyj has sold its 57.4 per cent stake of the shares in MREC Tullintori to the Mutual Insurance Company Pension-Fennia. The purchase price amounted to EUR 6.3 million. Citycon will recognize a gain on sale of approximately EUR 0.1 million on the transaction.
The gross leasable area of Tullintori is approximately 23,500 square metres, of which 9,000 square metres are retail premises. The leasable area of the premises owned by Citycon is about 10,000 square metres. Pension-Fennia was a partial owner of Tullintori also prior to the transaction.
The sale of Tullintori is in line with Citycon’s strategy, updated in the summer of 2011 that focuses on shopping centres and the retail property business. The majority of Tullintori’s leasable area is in other than retail use and is utilised, for example, as offices. There are also plans for renovating and repositioning the property. Related to the sale, Citycon has agreed with Pension-Fennia that it will continue the commercial management of Tullintori.
‘The sale of the Tullintori implements Citycon’s strategy of recycling and focusing capital more strongly on our core businesses. In Tampere, our capital resources will be focused on developing Koskikeskus and Duo, the two strongest shopping centres in the city. Through the commercial management of Tullintori, we are also very happy to be able to continue our cooperation with Pension-Fennia’, says Michael Schönach, Executive Vice President of Finnish Operations at Citycon.
Helsinki, 30 November 2011
CITYCON OYJ
For further details, please contact:
Michael Schönach, Executive Vice President, Finnish Operations
Tel.: +358 (0)20 7664 519 or GSM +358 (0)40 3560 909
michael.schonach@citycon.fi
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