Doughty Hanson & Co Real Estate has sold three Finnish shopping centres to ING Real Estate Investment Management for E186m (£126m).
The three properties, two of which are located in Helsinki and one in Oulu, comprise a total 508,000 sq ft and are anchored by two of Finland’s most popular retailers Halonen and Stockmann.
Doughty Hanson has now sold seven of the eight-strong portfolio of Finnish retail properties it bought from Ilmarinen Mutual Pension Insurance Company in 2004. During that time, the portfolio has delivered a total return multiple of 3.3 times equity investment and a 55% gross internal rate of return.
Iso Omena, a 656,604 sq ft shopping centre in western Helsinki, is the fund’s last remaining asset. The Fund sold four properties from the portfolio in 2005 and 2006 and completed a refinancing of the remaining portfolio in October 2006.
Nils Styf, head of Doughty Hanson & Co Real Estate, said:
“We continue to view Finland as an attractive market. ING Real Estate is a long-term institutional investor and we are confident it will continue to develop these three shopping centres positively.”
Doughty Hanson was advised on the sale by Jones Lang LaSalle.