Ownership Transfers from German to Spanish Company
Forum Madeira, a prominent shopping center in Portugal’s Madeira region, has been sold to the Spanish investment company Caminho Propício. Known for managing retail properties under its Castellana brand, Caminho Propício finalized the purchase from the German-based fund DWS, a subsidiary of Deutsche Bank focused on real estate investments across Europe. The deal, submitted for approval to Portugal’s Competition Authority (AdC), represents another step in Caminho Propício’s strategy to expand its retail portfolio.
Forum Madeira Celebrates 20 Years Amid Ownership Change
As Forum Madeira marks 20 years since its opening in 2005, it faces significant change under new ownership. The mall, which covers 20,000 square meters with 60 stores across three floors, also includes a cinema, a food court, a garden terrace, and 800 underground parking spaces. It was originally constructed at an estimated cost of €70 million.
Caminho Propício, listed on the Spanish stock exchange, focuses on acquiring, managing, and upgrading retail assets. The company previously purchased other malls in Portugal, including LoureShopping, 8.ª Avenida, and RioSul Shopping, for €177 million.
In October 2008, Forum Madeira became the first shopping mall in the region to obtain environmental certification, based on the ISO 14001 standard.
Deutsche Bank’s Asset Sale Strategy
The sale of Forum Madeira is part of Deutsche Bank’s plan to sell three shopping centers in Portugal, taking advantage of recovering commercial real estate values. The sale reflects a shift in Deutsche Bank’s real estate investment approach as it focuses on other asset classes and geographies.
Castellana Properties’ Growing Presence in Portugal
Caminho Propício’s acquisition of Forum Madeira underscores its parent company Castellana Properties’ growing influence in Portugal’s retail sector. Castellana is 99.5% owned by Vukile Property Fund, a Johannesburg-based investment group. While the acquisition cost remains undisclosed, it signals strong interest in the country’s commercial real estate market.
Source: Diário de Notícias da Madeira
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