Centrum Handlowe Ferio, Konin

CH Ferio, situated in Stare Miasto, Konin, was developed by Raiffeissen Evolution and opened in 2008, comprising of a 10,000 square metre Castorama DIY, a 13,000 square metre gallery with 65 shops and a 6,500 square metre retail park anchored by Media Market. 

 

There are also several free-standing buildings including McDonalds, all linked by a large on-grade car park. Recently extended by 2,000 square metres.

 

Ferio was acquired by Rockspring Property Investment Managers in December 2010. Balmain provided pre-acquisition commercial due diligence, assisted in negotiating the purchase agreement and developed a business plan to be implemented upon acquisition.

 

On completion of the purchase, Balmain was retained by Rockspring to provide asset and leasing management services.

 

The two key elements to the business plan prepared by Balmain were to replace the poorly performing Bomi supermarket, and to secure retailers not yet present in the region, to anchor a 2,500 square metre extension to the gallery which would help the property retain its dominant position in the retail hierarchy of the region.

 

In 2011, Balmain concluded a surrender agreement with Bomi followed by a letting to supermarket retailer Intermarche who opened in 2012 in the premises vacated by Bomi.  The impact on Ferio of Intermarche’s opening was immediate, with footfall increasing by some 40% in the year following Intermarche’s opening.

 

Simultaneously, Balmain was engaged as development and project manager to lead the planning and execution of contemplated 2,500 square metre extension of the gallery.

 

Balmain played a key role in finalising lease agreements with retailers to occupy the extension as well as parts of the existing centre (including the food court) due to be reconfigured.

After obtaining the necessary permits, construction of the extension commenced in spring 2013. Phase 1 of the extension opened in autumn 2013 and included new retailers such as Rossmann, Martes Sport, Stradivarius and Pepco. In March 2014, the second and final phase of the extension was completed with the opening of C&A, Smyk, Sinsay, Ochnik, Carry, Olimp and Cukienia Sowa – all first stores in the city.  Retailers including Mohito, Cropp, House, 5+10+15, CCC and others upsized as part of the project.

 

Since Rockspring acquired the property, annual rent income has been boosted by 20% and the weighted average lease expiry has been extended through the extension and re-gearing of tenant leases.  Customer footfall and retailer sales at the property have grown significantly as a result of the execution of the business plan devised by Balmain.