Vukile Sells Spanish Retail Parks, Acquires Berceo Shopping Centre

Vukile Property Fund, through its 99.7%-owned subsidiary Vukile Property Fund===Castellana Properties, has initiated a significant capital recycling strategy in its European portfolio. Vukile Property Fund===Castellana Properties has sold its portfolio of Spanish retail parks to Ares Management for EUR279 million, representing a 13% uplift in net asset value. Concurrently, Castellana has agreed to acquire the Berceo Shopping Centre in Logroño, northern Spain, from Barings Core Spain for EUR101 million. This strategic pivot aims to redeploy capital from less strategically important retail parks into dominant, higher-growth shopping centers in Spain and Portugal, where new development is constrained. Laurence Rapp, CEO of Vukile Property Fund, emphasized the focus on the Iberian shopping center segment for better-yielding future growth. Castellana will also provide asset and property management services for the divested retail parks to Ares Management for five years. This move reinforces Vukile Property Fund's position as a specialist European retail property player.