The name of the joint venture company is Ankkurikadun Kiinteistöt.
The underlying property value in the deal is €652M. The transaction is the largest sale and leaseback transaction so far in Finland.
Ankkurikadun Kiinteistöt will acquire 34 store sites and two shopping centres in Finland and Sweden from Kesko. It will also acquire one shopping centre from Kruunuvuoren Satama Oy and two store sites from Kesko Pension Fund in Finland. The whole includes the shopping centres Merituuli in Espoo, Karisma in Lahti and Veturi in Kouvola. Retail stores operating at the store sites and shopping centres are 15 K-citymarkets, 17 K-supermarkets, nine K-rauta stores and one Rautia K-maatalous store. Six of the K-rauta store sites are located in Sweden.
"We are pleased that the real estate arrangement long underway has been concluded with well-known and valued partners. As a result of the arrangement, Kesko's current strong financial position will further strengthen and provide a good basis for the development of the company in line with the future new strategy," says Kesko's President and CEO Mikko Helander.
The deal is AMF’s first in Finland.
“This acquisition completes our existing property investments in a good way. The orientation towards food and long leases gives stable and predictable rental flows. Strong partners like Ilmarinen and Kesko also ensures a professional and long term cooperation” says Martin Tufvesson, Investment Manager at AMF.
Sale and Leaseback Deal Worth €652M in Finland and Sweden
Finland —
Retail group Kesko, the Finnish Pension Insurance Company Ilmarinen and the Swedish pension insurance company AMF Pensionsförsäkring has created a joint venture that will own, manage and develop store sites primarily used by Kesko Group.
2015-05-14
Nicklas Tollesson
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