German listed shopping center investor Deutsche Euroshop has bought a 50% stake in the Allee-Center in Magdeburg from Franco-Dutch group Unibail-Rodamco for EUR 118 mln. The net initial yield - based on an expected revenue in 2012 of EUR 7.8 mln - is just under 6%.

Following the acquisition the portfolio of Deutsche Euroshop comprises 19 shopping centres with a market value of EUR 3.6 bn.

'The Allee-Center Magdeburg fits very well into our shopping centre portfolio', commented Deutsche Euroshop's CEO Claus-Matthias Böge. The centre's other 50% is held by private investors.

Originally opened in 1998 with 25,000 m2 of leaseable area, the scheme was expanded in 2006 and currently offers 35,000 m2 across 150 shops as well as 1,300 parking spaces.

Consumer electronics retailer Saturn, fashion houses SinnLeffers and H&M as well as a Rewe supermarket are the centre's anchor tenants. The complex is 99% let and also includes 1,800 m2 of residential and 7,300 m2 of office space. ECE Projektmanagement manages the centre.

Jones Lang LaSalle acted as intermediary in the transaction.