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TREI Real Estate and CPI Group conclude sale of a real estate portfolio in the Czech Republic

Mülheim an der Ruhr, October 29, 2012 – TREI Real Estate, real estate subsidiary of the Tengelmann Group, has concluded the sale of a real estate portfolio consisting of retail properties to the CPI Group, the leading Czech holding company for investments and developments. The real estate portfolio consists of nine supermarkets in the Czech Republic which are leased to Penny or Billa for terms of more than ten years.

The location portfolio is diversified and includes discount markets located in following locations: Dobříš, Holešov, Holice, Jablonec nad Nisou, Liberec, Říčany, Semily, Tanvald and Turnov. The total area of the properties amounts to 10,900 m². TREI Real Estate was advised by Colliers International in selecting the buyer, the due diligence review and negotiating the purchase agreement. Legal representation for the transaction was provided by Kinstellar on behalf of the CPI Group and CMS Cameron McKenna on behalf of TREI Real Estate.

"TREI Real Estate GmbH was able to realise the value of its portfolio from a long-term investment perspective in order to be able to invest in the planned development of our own retail parks under the VENDO PARK brand in the Czech Republic and Slovakia," reported Björn Fraeb, director of the Portfolio Management & Business Development division at TREI Real Estate GmbH. "CPI Group has acquired a geographically diverse portfolio which offers solid revenues and is secure for more than ten years through exceptional tenants Penny und Billa," added Martin Němeček, Director of Acquisitions, CPI Group. "This is an exceptional transaction for both parties," noted Chris Sheils, MRICS, Director, Colliers Czech Republic Investment Services. "In recent months there have been only a few transactions of this type and this transaction underscores the how attractive revenues from retail space subject to long-term lease are to investors."

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