SANTIAGO, Chile–(BUSINESS WIRE)–As part of its growth strategy, Parque Arauco S.A. (PARAUCO.SN), through its subsidiary Parque Arauco Colombia SAS (“PACSAS”), announced the agreement for the acquisition of 51% of the fiduciary rights of an investment vehicle that owns approximately 19,000 m2 of Gross Leasable Area (GLA) of the Titán Plaza Shopping and Business Center in Bogotá, Colombia.
According to the information provided, the Real Estate Collective Investment Fund Visum Rentas Inmobiliarias (hereinafter “Visum”) currently owns a portfolio of commercial premises and offices in Titán Plaza. Once the agreed conditions in the contract are met, Parque Arauco will pay Visum COP 138,720 million (approximately USD 34 million) for the acquisition of 51% of the fiduciary rights and will have an option to purchase the remaining 49% for a period of 30 months, after 24 months from the closing date of the agreement.
Titán Plaza Shopping Center is a mixed-use asset that encompasses around 69,000 m2 of total Gross Leasable Area (GLA), which is divided into about 54,500 m2 of commercial space and over 14,500 m2 of AA-category offices. It stands out as one of the most iconic shopping centers in Bogotá. Titán Plaza enjoys a prime location between two of Bogotá’s major thoroughfares, Calle 80 and Avenida Boyacá, situated in one of the city’s best established neighborhoods. The center is anchored by prominent brands such as Falabella, Jumbo, Zara, and Cine Colombia.
The investment vehicle in which Parque Arauco will invest owns approximately 19,000 m2 of commercial area. In the last twelve months, up to June 2023, this area contributed an EBITDA of COP 23,000 million (approximately USD 5.6 million). Around 80% from this EBITDA, which is currently debt-free, comes from the retail area’s operation, while the remaining 20% is attributed to the office area’s operation. The EBITDA per m2 of this retail space closely mirrors that of Parque La Colina, Parque Arauco’s main asset in Colombia. This highlights the high quality of the real estate spaces that are part of this transaction.
Diego Bermúdez, CEO of Parque Arauco Colombia Division, stated, “This investment in Titán Plaza not only allows us to strengthen our presence in Bogotá, the country’s largest city, but it’s also our first investment in a multi-owner shopping center. In Colombia, approximately two-thirds of shopping center spaces are multi-owner properties, and some of them perform exceptionally well. This acquisition adds to the recent investment made in Parque Alegra, our first shopping center in the city of Barranquilla, reaffirming our commitment to Colombia’s development.”
About Parque Arauco
Currently, Parque Arauco has a total Gross Leasable Area (GLA) of 1,124,500 m² in Chile, Peru, and Colombia. The company inaugurated its first shopping center in Chile in 1982, expanded to Peru in 2005, and entered Colombia in 2008. For more details, please visit the company’s website: www.parauco.com.
Head of Investor Relations
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