Key Factors
- Vukile’s Castellana Properties finalized a $332 million Valencia’s largest mall deal, increasing its dominant retail portfolio in Spain with a 7 % entry yield.
- Partly funded by Castellana’s Lar España sale, the acquisition aligns with its technique to put money into prime, high-performing retail property in key markets.
- With 99% occupancy and prime tenants like Inditex, Primark, and H&M, Bonaire Purchasing Centre cements Castellana’s dominance in Iberian retail actual property.
Vukile Property Fund Restricted, a Johannesburg-based property fund led by South African enterprise government, Laurence Rapp, has finalized the acquisition of Bonaire Purchasing Centre, the biggest mall in Spain’s Valencia province, for $332 million.
The €305 million ($332 million) deal, executed by way of Vukile’s 99.5 percent-owned Spanish subsidiary Castellana Properties, marks the corporate’s largest transaction to this point. Bonaire Purchasing Centre, a prime 10 retail asset in Spain, was acquired from multinational retail REIT Unibail-Rodamco-Westfield at an entry yield of roughly 7 %.
Castellana expands Iberian portfolio with $332 million deal
Castellana Properties, Vukile’s majority-owned subsidiary, has strengthened its foothold in Spain’s retail sector with a $332 million acquisition of Bonaire Purchasing Centre, Valencia’s largest mall. The deal, partly funded by €200 million ($217.98 million) from its profitable Lar España divestment, aligns with Castellana’s deal with prime, high-performing retail property.
Castellana Properties, will strengthen its foothold in Spain’s retail market with the $332-million acquisition of Bonaire Purchasing Centre, the biggest mall in Valencia. The deal, nonetheless topic to regulatory approval, will make Bonaire the flagship property in Castellana’s portfolio. It’s partly funded by €200 million ($217.98 million) from Castellana’s worthwhile divestment of Lar España, aligning with its deal with prime, high-performing retail property.
Vukile CEO Laurence Rapp described the acquisition as a milestone for Castellana. “We’re thrilled to have secured this distinctive asset from Unibail-Rodamco-Westfield. That is our largest deal by worth to this point and a serious step ahead in our progress in Spain with a top-tier, institutional-grade asset.”
Vukile’s world retail growth continues
Beneath Laurence Rapp, Vukile Property Fund, listed on the Johannesburg and Namibia inventory exchanges, has constructed a powerful retail REIT presence in South Africa and Spain. Centered on dominant retail property, it manages a R40 billion ($2.11 billion) portfolio, with 59 % of its property in Spain by way of its Madrid-listed subsidiary, Castellana Properties.
Its largest deal to this point is the acquisition of Bonaire Purchasing Centre, the largest mall in Valencia. The property, bought from Unibail-Rodamco-Westfield at a 7 % entry yield, provides vital worth to Castellana’s retail portfolio. With current expansions into Portugal, Vukile is additional strengthening its place within the Iberian market.
