YIT agrees shopping mall joint venture
By Joe Malone21 December 2015
Finnish-based YIT has agreed a joint venture to build the Mall of Tripla in central Pasila, Helsinki.
YIT, Etera Mutual Pension Insurance Company, Onvest, Fennia Mutual Insurance Company and Fennia Life Insurance Company have agreed to form a joint venture for the construction of the Mall of Tripla and its parking facilities.
The overall value of the shopping mall and the parking facility is approximately €600 million. YIT’s share of ownership in the joint venture will be 35%, with Etera owning 35%, and Fennia and Onvest owning 15% each. The joint venture will sign the final project agreements in early 2016.
According to the agreement, around half of the construction of the shopping mall and the parking facility will be funded with capital investments by the owners, and around half with credit. YIT aims to conclude in spring next year the credit negotiations and sign contracts on the implementation of the shopping mall and the parking facility with the property company that is owned by the joint venture.
The building permit for the first implementation phase – the parking facility – has already been granted, and the excavation work is underway. Around 20% of the retail space in Tripla has been leased already, and interest towards the premises has been high in general.
The Mall of Tripla will become the largest shopping centre in Finland in terms of the number of retail spaces. The leasable floor area is over 85,000m² for a total of 250 tenants, and there will be parking space for 2,300 cars in the parking facility. The mall will open for the Christmas season 2019.