COBALT advised development of Mustamäe Keskus and its sale to East Capital for EUR 27.5 mln

COBALT advised the sale of the shopping and entertainment centre Mustamäe Keskus to East Capital in a transaction amounting to EUR 27.5 million. The developers and sellers of Mustamäe Keskus were Estonian undertakings.

The shopping centre opened its doors last week and became very popular at once. The aggregate area of Mustamäe Keskus is over 21,000 square meters, and its leasable area represents about 13,500 square meters. The most outstanding lessees of the centre are Apollo multiplex cinema with the most modern equipment in the Baltic States, Rimi supermarket with a new concept, the most up-to-date sports club of the district MyFitness, and restaurants and cafes that are located on more than 2000 square meters, the biggest restaurant being Lido – the third one opened in Tallinn.

COBALT advised the client throughout the whole development process. Among other things, we participated in the preparation of and negotiations related to lease agreements, including with the anchor tenant Rimi, in entry into a financing agreement with Swedbank which is necessary for the development of the centre, entry into a construction contract with the constructors of the centre Astlanda Ehitus and Eventus Ehitus, and in many other matters that appeared in the course of the development process.

In addition to the counselling regarding the development of the centre, we also advised our client in the sale transaction with East Capital.

The client was counselled by partner Aivar Taro and associate Erki Parik.