Wereldhave’s Itis shopping centre is one of Finland’s largest shopping centres, with 94,000 m² of retail. Wereldhave owns the entire freehold of the building and the land.
Wereldhave’s Itis shopping centre saw a continued increase in footfall of 2.3% (market average 1%) and a growth in sales of 2.4% (market 0.7%). Wereldhave Finland signed 88 leases, rotations and renewals, raising occupancy over the year from 92.5% to 95.7% at year-end. Like-for-like rental growth for 2016 amounted to -2.7%. Halonen, one of our major retailers, signed a new 10 year lease and this also involved a full refurbishment of their multi floor store. Brand new leases included Espresso House, Volt who are new to the Finnish market, Lucky Bastard, a new restaurant format which is proving to be successful, and Pasta Box, a new concept by a leading and well known restaurateur in Finland.
Antilla unfortunately announced its bankruptcy in 2016. The administrators have partially continued the lease until the end of 2016 to sell all remaining goods from Anttila’s other stores. The freed up space thus gave Wereldhave Finland the opportunity to reach an agreement with Finnkino to open a 9 screen cinema in Itis, with an anticipated opening at the end of 2018. The cinema with a unique concept for Finland will be the first in East Helsinki and it will be an excellent addition to the leisure offer at Itis. Finnkino is the market leader in Finland with 98 screens in 14 cinemas in 11 cities. They are part of Nordic Cinema Group, the market leader in the Nordics, with 469 screens in 6 countries, amongst which is the recently opened cinema in the mall of Scandinavia in Stockholm. The lease is for a fixed term of 15 years.
This is an important change to the shopping centre, as it will drive footfall, dwell time and average visitor spending. It also paves the way for a further improvement of the Food & Beverage offer in terms of quality, quantity and rent levels. The development costs amount to € 20m, excluding additional studies and plans to improve the F&B court, relocating tenants and drive the rent roll.