The two Danish pension funds, ATP and Danica, have entered into a joint venture agreement that will include 16 leading Danish shopping centers with a total value of € 1.9 billion ($2.2 billion). It is the highest value real estate transaction in Denmark to date.
After having enjoyed exclusive ownership of these centres for a number of years, Danica has now decided to sell off 50 percent of its share to ATP Real Estate.
The portfolio consists of 16 centers across Denmark, the majority located in Greater Copenhagen, and includes some of the largest and most prestigious located centers in the country. The centers comprise a total area of around 400,000 sqm with approx. 1,100 tenants. Over 60 million shoppers visit the centers each year.
“We are very pleased with this significant addition to our real estate portfolio. The investment is in keeping with our focus on investments that have a healthy risk diversification and provide long-term stable returns," said Michael Nielsen, ATP Real Estate´s CEO.
Together, ATP Real Estate and Danica will work to enhance the centers´ position on the Danish market for the benefit of both visitors and retailers alike. In future, we plan to create shopping centers that will stage events and offer a total “leisure experience”, and where shoppers can, for example, receive special offers, tailored-made for them individually, directly via their phones."
The transaction is dependent upon receiving approval from the Danish Competition and Consumer Authority.
