07:51 | Lima, Apr. 05 (ANDINA).
Parque Arauco, one of Latin America’s leading shopping center developers and operators, has reached an agreement with Peruvian holding company Graña y Montero (G&M) to acquire the Larcomar shopping center located in the disctrict of Miraflores in Lima, for US$36 million.
The acquisition of the entertainment complex is part of Parque Arauco’s regional growth and expansion strategy.
The agreement also calls for the joint development of a 300 room, five-star hotel in which the company and G&M will participate equally, investing an estimated total of US$65 million, and envisages future collaboration in other projects that leverage the companies’ expertise in the development of mixed use properties.
Parque Arauco’s Chief Executive Officer, Andrés Olivos, said this investment demonstrates the company's commitment to expanding its development and operation of retail properties in Peru, and highlights the company’s decision to forge strong relationships in international markets with the leading players in the industry.
"We firmly believe that the acquisition of the Larcomar shopping center and the joint development of the hotel with G&M will give the company a significant stake in the most impressive entertainment complex in Latin America," he said on a press release.
Olivos added that the inclusion of Larcomar in Parco Arauco's regional portfolio of properties, combined with the development of the new mall in Arequipa, underscores the company's position as one of the region’s leading operators of commercial real estate.
The addition of Larcomar to Mega Plaza in Lima and stripcenter Mega Express Villa in Chorrillos, both developed with the Wiese Group, adds 24% to the total Gross Leasable Area (GLA) of 108,365 m2 in Peru operated by the company.
Larcomar Fashion Center
Larcomar offers a privileged view of the Pacific Ocean, a strategic location which has made it one of the most visited shopping centers in the Peruvian capital, with an average of 500,000 monthly visits.
The mall covers an area of approximately 45,000 m2 and has a gross leasable area of 26,218 m2, which includes four levels and 155 commercial outlets, among them a cinema, a museum, restaurants, a food court and 72 small shops.
It also features two exclusive discotheques, a theater with capacity for 200 spectators and more than 800 parking spaces.
“Larcomar is a project of great importance to the company. Not only does it offer fashionable and exclusive apparel, but also the best in entertainment, culture and cuisine. As is the case with all of our properties, we want Larcomar to be much more than a shopping center, a meeting point where visitors can have a unique experience,” added Olivos.
In 2009, Larcomar recorded sales of US$50 million and generated EBITDA of US$5.7 million, which Parque Arauco believes may be increased by more than 5%.
Parque Arauco in Peru
Parque Arauco has been present in the Peruvian market since 2006, when it invested in mall Mega Plaza Norte, the most visited shopping center in Peru.
As of December 31, 2009, the Company’s operations in Peru recorded increases in EBITDA of 5% in comparison to the previous year. Operating revenues in local currency increased by 11%, mainly due to an expansion of the gross leasable area of Mega Plaza Norte toward the end of 2008.
Parque Arauco, based in Chile, is one of Latin America’s largest developers and operators, in terms of GLA, of retail real estate in Latin America. Over the last 25 years, Parque Arauco has developed, operated and managed shopping centers throughout Chile.
The company has a 31.6% ownership interest in Argentina’s Alto Palermo (APSA) which is traded on the Buenos Aires Stock Exchange and the Nasdaq. Apsa is the owner and operator of 11 shopping centers. Parque Arauco also has a 45% interest in Peru’s Inmuebles Panamericana, owner and operator of one of Lima’s largest shopping centers.
(END) INT/EEP/LVT
Publicado: 5/4/2010