The owner of Europa Shopping Centre in Vilnius, BH Europa UAB, an SPV of Baltic Horizon real estate fund, signed and closed a real estate sale and purchase agreement with UAB “Prime Location Property Fund” on Friday, 30 December 2022, following the end of the Nasdaq trading day, to sell its share in the parking house of Europa Shopping Centre which was previously co-owned with the purchaser. The agreement stipulates certain guarantees to ensure sufficient number of parking spaces required for the proper operation of the shopping centre as well as possibility to ensure free parking for the clients od Europa Shopping Centre. Baltic Horizon Fund remains as the sole owner of the Europa Shopping Centre.
The sales price is EUR 4 million (excluding value added tax, if applicable). The proceeds of the transaction were used to optimise balance sheet structure and reduce the financial leverage of the Fund. Following the transaction, the Fund’s outstanding loan balance will decrease by EUR 3.5 million.
This signifies a positive change in the relations of the neighbours. The sale and purchase agreement includes a clause whereby the purchaser undertakes to waive all historic disputes in regards to the parking house.
“We are satisfied to have completed the sale of half of the Europa parking house to the co-owner. Under sole ownership, our neighbour will complete renovation of the entire parking house for the use of both Europa shopping centre and office building”, stated Tarmo Karotam, fund manager of Baltic Horizon.
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Baltic Horizon Fund is a registered contractual public closed-end real estate fund managed by Alternative Investment Fund Manager license holder Northern Horizon Capital AS.
Distribution: Nasdaq Tallinn, Nasdaq Stockholm, GlobeNewswire, www.baltichorizon.com