KS Holding, a real estate company co-owned by Kesko, Arturas Rakauskas and Zabolis Partners, sold Ozols shopping centre in Riga to the investment fund Titanium, a new player in the Baltics this year. It is Titanium’s first purchase in Latvia. Newsec in the Baltics represented the seller in the transaction.
The 30,000sq m shopping centre is special for its unique feature, a big oak growing in the middle of the complex. The asset was awarded the BREEAM In-Use “Very Good” environmental certification.
KS Holding acquired the property in 2016 and undertook a massive redevelopment project by changing the outdated shopping centre’s Azur concept into a brand new DIY destination store as well as enlarging the GLA. The property is anchored by Kesko-Senukai and RIMI supermarket on a long term basis. The Property was acquired by Finnish Special Mutual Fund Titanium Baltic Real Estate.
According to Andrius Švolka, Head of Transactions at Newsec in the Baltics, selective retail real estate in the Baltics is still well in demand by both local and international investors. This property checks the majority of the requirements from an investors perspective such as new construction, leading tenants (Senukai and Rimi) operating in resilient segments (DIY and grocery), long WAULT, BREEAM certification, good location, etc.