Obi sells Polish stores

American company WP Carey International LLC has announced an agreement to buy and lease back 18 properties located across Poland from Obi AG, the world's fourth-biggest DIY retailer for some $200 (zł.645) million. The transaction, to be completed on March 30, will enable German Obi to further expand in the CEE markets and helps WP Carey to strengthen its presence in Europe.

"This transaction represents a significant step forward in WP Carey's European growth strategy. Increasingly, companies throughout Europe are recognizing the inherent benefits of sale-leaseback transactions and the advantages this type of financing provides to growing businesses," president of WP Carey International, Edward V. LaPuma, said in a statement.

"We are committed to growing our operations throughout Central and Eastern Europe. In an effort to achieve these goals we reviewed several corporate financing options. We chose the sale-leaseback alternative with WP Carey because it made the most sense for our business strategy and will allow us to concentrate on our core competencies rather than our real estate," adds Sergio Giroldi, Obi's general director.

According to Markus Wolf, general director of Obi Properties, the transaction will allow the company to concentrate on retail activities in Poland, which is an important market for Obi.

Andrzej Wróbel