DIY retailer Leroy Merlin to open two more stores in Bucharest
DIY retailer Leroy Merlin recently announced that it has leased two retail spaces in Bucharest, with a combined area of 21,000 sqm from the Supernova Group, through a transaction brokered by the real estate consultancy company Cushman & Wakefield Echinox.
The two spaces, of 8,300 sqm and 13,000 sqm respectively, are located within the Supernova Lujerului and Supernova Pantelimon commercial galleries. The galleries are part of the former Cora portfolio of six properties that Supernova acquired in 2021 following a sale and leaseback transaction, properties which have either been or are due to be modernized and rebranded.
Leroy Merlin currently operates four stores in Bucharest, the latest one opened in 2020. There are 21 Leroy Merlin stores in Romania, with more than 3,000 employees in 15 cities.
“Even though Romanians have been more careful with their spending in recent years, they remain attached to their homes and invest in them,” Mathieu Bauduin, CEO Leroy Merlin Romania, said.
“These two units, strategically positioned in some of the most densely populated areas in Bucharest, will integrate very well in both Leroy Merlin’s existing portfolio in the city and also in the tenant mix Supernova aims to provide to its customers by reshaping the two shopping galleries. The DIY segment has been one of the retail market’s top performers in recent years, showing resilience in challenging conditions such as high inflation, declining consumption, and increasing interest rates. Furthermore, we believe the local DIY market will continue to expand, thus creating the premises for new investments,” said Bogdan Marcu, Partner Capital Markets at Cushman & Wakefield Echinox.
The Supernova Group is an international company focusing on the development and management of commercial real estate properties in Austria, Slovenia, Croatia, Romania and Slovakia. The group’s current portfolio comprises over 110 properties with a gross value of EUR 2.2 billion.
Supernova entered the Romanian market in November 2020 by acquiring the Jupiter City shopping center in Pitesti, which has since been rebranded and completely refurbished. Additionally, the Supernova Group has also purchased the former Cora portfolio in 2021, consisting of 6 shopping centers located in Bucharest (three locations), Constanta, Bacau, and Drobeta Turnu Severin.
“Supernova Group is thrilled to welcome Leroy Merlin as a strong tenant partner in our shopping centers. Their presence will undoubtedly enrich our shopping centers, offering added value to our portfolio and our customers. Considering that Supernova Lujerului will also undergo renovations and modernizations in the coming period, we expect that the arrival of such a valuable partner like Leroy Merlin will translate into a more powerful shopping center that will become one of the most attractive destinations in the area,” said Markus Pinggera, Managing Director at Supernova Group.
(Photo source: Alexandr Blinov | Dreamstime.com)
