Finnish based shopping center company Citycon has signed an agreement to sell the Magistral shopping centre in Tallinn, Estonia, to the Baltic commercial property fund EfTEN Kinnisvarafond II AS.
The purchase price is 24 million EUR.
“This divestment is in line with Citycon’s strategy to focus on urban, grocery-anchored shopping centres in the Nordics and Baltics and to divest the non-core portfolio of smaller retail assets and shopping centres. We feel that it is the right time to divest this smaller non-strategic asset and to recycle the capital”, says Nils Styf, Chief Investment Officer at Citycon.
The closing of the transaction is subject to an approval by the Estonian competition authority. The transaction is estimated to close by March 2016.