Both assets are unencumbered, and the gross purchase price is within 2.5% of Q4/2021 book values. According to the agreement, Citycon will divest Sjøsiden centre in Horten and Down Town in Porsgrunn to Scala Eiendom AS. The transaction is estimated to close during Q4/2022.
“These divestments follow Citycon’ s strategy to efficiently recycle capital and to focus on larger, grocery and municipal service-anchored urban hubs with direct connection to public transportation and development potential. The proceeds from this transaction will be used to repay debt and to further strengthen our investment grade balance sheet. The transaction showcases the liquidity of Citycon´s portfolio and highlights the attractiveness and desirability of necessity-based, inflation protected Nordic retail assets to investors. This transaction represents the first tranche of our stated goal of selling EUR 500 million of non-core assets over the next 24 months. It also provides further evidence of the validity of our asset values even those that are non-core”, says F. Scott Ball, Citycon’s CEO.