Repositioning and Asset Management
Funds managed by Bruton Capital acquired the 11,000 sqm Hellersdorfer Corso multi-use centre out of administration in 2016. Whilst the property had historically suffered from a lack of investment and attention, it benefitted from an excellent location adjacent to the Kienberg metro station and within a well-developed residential neighbourhood.
The asset offered significant asset management opportunities and the Bruton Capital team demonstrated their strong capabilities in this regard, working with several leading agents to lease and reposition the centre from a multi-let secondary centre to a building focused on 4 to 5 prime tenants. Major existing tenants included Penny and Kik whose retail space was expanded and additional leisure and food and beverage tenants were added, as well as several medical offices on the upper floors. As part of its programme of active asset management, the Corso centre’s rents were doubled, its service contracts were renegotiated and its operating costs were reduced by 25%.
Following this successful repositioning and active asset management initiative, the Corso centre was sold in 2020, realizing an attractive return for the fund investors.