The disposal consideration is based on a gross asset value for Hammerson’s share of the VIA portfolio of approximately €641M and represents a net initial yield of 6.5 per cent and an 18.7 per cent discount to gross asset value as at 30 June 2020.
VIA is a 50:50 joint venture between Hammerson and APG and they operate eleven premium outlets in nine European countries providing over 267,000sq m of floor space and over 1,130 stores. VIA is one of the leading premium outlet operators in Europe, with the third-largest portfolio by area. As at 30 June 2020, the market value of the VIA portfolio was approximately €1.5bn, of which the Group’s 50 per cent interest was approximately €793.5M. For the six months ended 30 June 2020, the loss attributable to VIA was €23.2M. VIA is managed by a management team led by CEO Otto Ambagtsheer and Peter Stals, CFO.
As part of the deal, Hammerson has agreed that the Group will retain an indirect 7.26 per cent stake in Via Outlets Zweibrücken B.V (the German Propco). The Retained Minority Stake represents approximately four per cent of the Group’s current interests in VIA, based on its net asset value of approximately €17M as of 30 June 2020.
