The portfolio includes 4 grocery anchored properties with a total GLA of approx. 21,000 sq m.
The transaction of first two properties – Vironia Centre in Kohtla-Järve with a GLA of approx. 10,000 sq m and Raadi Centre in Tartu with a GLA of approx. 3,100 sq m – was successfully closed in March 2022. The remaining two properties – Ahtme Centre in Ahtme with a GLA of approx. 3,300 sq m and Rappeli Centre in Rapla with a GLA of approx. 4,600 sq m – arrived to closing in June 2022.
Sven Mihailov, one of the shareholders of Fausto Capital, says that the decision to sell was made due to the wish to direct focus mainly on the development of commercial real estate, especially the development of the new phases of the Fahle business quarter created in the area of the historic paper mill.
Fausto Capital as one of the leading real estate developers in Estonia has been engaged with commercial real estate development, leasing and management since 2004. Among their latest is the development of Fahle Park – a thriving business and residential quarter in the city centre of Tallinn with a total building right of approx. 120,000 sq m, of which 30,000 sq m was completed in the end of 2020.
The portfolio was aquired by investment company Capital Mill. The company is focused on investments in commercial real estate in the Baltics, and today, the portfolio volume reaches 485 million euros.
„We are always on the lookout for investment opportunities in all Baltic states and the investing portfolio we manage has been in stable growth throughout the company’s existence,“ said the CEO of Capital Mill, Kaarel Loigu. According to him current economic situation has grown complicated, unpredictable, and made foreign investors anxious. This is also the reason for the halt or temporary putting on hold of large real estate transactions. „We see great opportunities here since the situation favours local investors’ activity in making transactions“, Loigu stated.
The transaction was coordinated by SUPPA Advisers, a partner of the Savills Group in the Baltics.