15th Nov 2007 12:06
Plaza Centers N.V.15 November 2007 15 November 2007 PLAZA CENTERS OPENS ARENA PLAZA IN HUNGARY Plaza Centers N.V. ("Plaza Centers" or "the Company"), a leading emergingmarkets property developer, announces that Arena Plaza Shopping andEntertainment centre in Budapest, Hungary has today been completed and opened tothe public. Arena Plaza is Hungary's largest shopping and entertainment centre and was 100%occupied by international and local tenants at opening. The Centre comprisesapproximately 66,000 square metres of lettable area, with 220 retail units ofvarious sizes, and is serviced by over 2,800 parking spaces. Amongst theinternational anchor tenants of the Centre are Tesco, the Inditex Group and Peek& Cloppenburg, together with other major retailers such as H&M, Electro World,Hervis and C&A. Additionally, Arena Plaza has a 23-screen Cinema City complex,which includes Hungary's first IMAX theatre. As announced to shareholders on 7 August 2007, Arena Plaza was pre-sold toUK-based Active Asset Investment Management ("aAIM"). The purchase price will befinally determined on the completion of the transaction, which is expected totake place within a month of Arena Plaza's opening date, on the basis of theactual rent levels achieved being capitalized at an agreed yield. The Company'smanagement estimates the final transaction price based on actual rent levelswill be no less than circa €380 million, with an overall transaction price capof €400 million, as agreed with aAIM. On completion of the transaction a further announcement will be made toshareholders. Commenting on the opening, Ran Shtarkman, Chief Executive of Plaza Centers,said: "Arena Plaza is one of the largest and most prestigious shopping andentertainment centres in Central and Eastern Europe, the design and ambition ofwhich has set new standards for the region ever since we first acquired the sitein late 2005. In developing Hungary's largest shopping centre, we have providedan exciting new commercial centre for Budapest and a compelling destination fornational and international tenants and visitors. The project represents our 25thshopping and entertainment centre in the CEE region and our 17th shopping andentertainment centre in Hungary. "The Arena Plaza confirms Budapest's position among the major and diverse citiesin Europe and has been a significant example of Plaza's mega, strategicdevelopment projects, such as the large gambling and leisure resort on DreamIsland in Budapest and the Casa Radio landmark scheme in the heart of Bucharestwhich comprises more than 600,000 sqm of build area, including one of thebiggest shopping and entertainment centres in the region, residential and officespace, a hotel, casino, hypermarket, convention and conference hall and parkingfacilities. "The development and subsequent disposal of Arena Plaza clearly demonstrates ourability to create significant shareholder value by developing major retail sitesin our chosen markets and attracting premier international and local tenants. Indeveloping the largest shopping centre in Hungary, with over 180,000 sqm ofgross built-up area which were constructed at a record pace of less than 18months, we have set new standards in design and ambition for shopping andentertainment centres in Central and Eastern Europe. "We look forward to updating shareholders on the final completion and terms ofdisposal to aAIM in due course." For further details, please contact: Plaza CentersMordechay Zisser, Chairman +972 3 608 6000Ran Shtarkman, President and CEO +36 1 462 7221Roy Linden, CFO +36 1 462 7105 Financial Dynamics +44 20 7831 3113Stephanie Highett / Laurence Jones Notes to Editors: Plaza Centers N.V. (www.plazacenters.com) is a leading emerging marketsdeveloper of shopping and entertainment centres. It focuses on constructing newcentres and, where there is significant redevelopment potential, redevelopingexisting centres in both capital cities and important regional centres. TheCompany is dual listed on the Main Board of the London Stock Exchange and, as of19 October 2007, the Warsaw Stock Exchange (LSE:"PLAZ", WSE: "PLZ/PLAZACNTR").Plaza Centers N.V. is an indirect subsidiary of Elbit Medical Imaging Ltd. ("EMIL"), an Israeli public company whose shares are traded on both the Tel AvivStock Exchange in Israel and the NASDAQ Global Market in the United States. Plaza Centers is a member of the Europe Israel Group of companies which iscontrolled by its founder, Mr Mordechay Zisser. It has undertaken real estatedevelopment in emerging markets for more than 11 years. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Plaza