Cora invests in malls when real estate developers are coping with insolvencies
Cora French retailer, present domestically with five
hypermarkets, will enter the mall segment by launching Corall
project of Constanţa in the second half of 2012, in the wake of
100m-euro investments.
The next two mall projects of French Louis Delhaize, Cora's
shareholders, will be built in Braşov and Bacău, but no completion
date has been specified. Cora thus becomes the first food retail
player to rival mall developers, a market of over 50 shopping
centres.
"The next two malls will be built in Braşov and Bacău. We already
have the land, we're waiting for the construction permit," stated
Philippe Lejeunne, 55, general manager of Cora Romania.
The first mall Cora is set to open in Romania, the one of
Constanţa, will have a 150,000 square metre total area. Cora
hypermarket of this mall will have an 8,500 square metre area.
Around a quarter of the mall's total area will be used for the
entertainment section, while in the rest of shopping centres this
section takes below 20% of the area, according to the
representatives of CB Richard Ellis real estate consultancy, the
project rental agent.
Lejeunne expects to break even with this mall in seven or eight
years. As for funding, he says the money for all the projects comes
from France, from the parent company.