Arka's new asset

Arka BZ WBK Property Market Fund has expanded its portfolio with the addition of Alfa Centrum shopping center in Olsztyn. The center, which is the ninth commercial building in the Arka's portfolio, was bought from a Gdańsk holding, JWK Invest, for zł.191.6 million. The acquisition, like Arka's other investments, was completed through a special-purpose venture. The legal support in the transaction was provided by Chadbourne and Parke.

The Olsztyn-based shopping center is a modern retail building which was completed in November 2005. Its leasable area is 18,000 sqm. The whole structure has five storeys, two of them consisting of an underground car park. The second floor has a modern multiplex cinema with five rooms. Located on Al. Józefa Piłsudskiego, which is Olsztyn's main road, Alfa Centrum houses such tenants as Empik, Solar, H&M and Gino Rossi.

Alfa Centrum in Olsztyn is the second asset acquired by Arka BZ WBK from JWK Invest. Last year the investment fund bought an office building in Gdynia from JWK - Alfa Plaza, which has 7,700 sqm of office space. The value of that transaction was EUR 10.55 (zł.41.57) million.

According to the fund's investment policy, office real estate will constitute at least 50 percent of the fund's portfolio. The share of residential property is limited to 25 percent and the rest will be shopping centers and warehouses. Arka BZ WBK belongs to the investment-fund association BZ WBK AIB TFI, which is one of the biggest entities in the Polish investment-fund market. Founded eight years ago, it now manages 10 investment funds. The total net value of the assets managed by BZ WBK AIB TFI is zł.12.9 billion, which constitutes 16.7 percent of the market.