Castellana Properties acquires shopping centre in Portugal for €63m

Castellana Properties has acquired the Forum Madeira shopping centre on the island of Madeira, Portugal, for €63.3 mln from DWS.

This marks its fifth acquisition in Portugal since October 2024. 
The deal, offering a 9.5% yield on net operating income, is expected to close by April 30th and brings Castellana's total assets to approximately €1.7 bn across 21 properties. 
Opened in 2005, Forum Madeira is Madeira's premier shopping centre, boasting 21,472m² of retail space over three floors. Attracting 5.4 million annual visitors, including over a third of international tourists, the fully occupied centre offers a diverse range of stores, including all Inditex brands and a Pingo Doce supermarket. 
Alfonso Brunet, CEO of Castellana Properties, commented: "The addition of Forum Madeira to our portfolio reaffirms our growth trajectory and our firm commitment to the Portuguese market. This asset not only strengthens our strategy of geographical diversification and international expansion, but also reflects our long-term vision and commitment to solid, sustainable growth. We continue to invest in dynamic and promising markets such as Portugal, where we aim to generate value and build for the future."
Located in a thriving residential area near Funchal, with convenient access to the ER101 motorway, Forum Madeira serves a catchment area of 250,000 residents and 2.3 million tourists. Future luxury developments, like the Dubai Madeira project, are expected to further enhance the centre's already strong position in the market. Visitor parking for 800 cars is also available.
This purchase is Castellana Properties' fifth Portuguese acquisition since October 2024, and adds to the existing portfolio comprising RioSul Shopping, LoureShopping, 8ª Avenida, and Alegro Sintra.