Friday, May 13, 2016

Croesus Retail Trust buys Japanese shopping mall and shopping centre for $74.5 mil

Croesus Retail Trust (CRT) has acquired Mallage Saga, the second largest shopping mall in Saga City, in Japan's Saga Prefecture.

It also acquired Feeeal Asahikawa, a large scale shopping Centre in the city of Asahikawa, Hokkaido, Japan.

CRT will pay for both properties at about $74.5 million (JPY6.11 billion) in total, funded by a mix of debt and equity.

Mallage Saga has a net lettable area (NLA) of 46.650 sq m. It has a well-diversified tenant mix of 132 tenants in the food & beverage, interior goods, ladies & men's fashion and entertainment sectors.

Meanwhile, Feeeal Asahikawa has a NLA of 19,763 sq m. It has 62 retail tenants comprising a mix of food and groceries, fashion and accessories, education services and financial/insurance sectors and two office tenants.

Upon completion of the acquisitions, CRT's total portfolio value will increase 6.7% to JPY106.45 billion from JPY99.75 billion previously.

This represents a total NLA of 425,530 sq m across 11 retail assets geographically diversified across Japan.

CRT ended 1.8% higher at 83 cents on Thursday.

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