Sponda - Company Announcement

Sponda to develop Tampere’s largest shopping centre

Sponda Plc      Stock Exchange Release     30 March 2015 at 8:30 a.m.

Sponda to develop Tampere's largest shopping centre

Sponda Plc has made the decision to develop the Ratina shopping centre in
Tampere. Ratina will be Tampere's largest and most upscale shopping centre,
situated in a unique location in the heart of the city. Comprised of three
buildings, the shopping centre will be a versatile hub for recreation and
entertainment in Tampere. 

The construction of the Ratina shopping centre will begin in April 2015 with
excavation work on the new Valo-Ratina building, and the shopping centre is
estimated to be completed in spring 2018. The complex comprises a total of
approximately 53,000 square metres of retail and service premises with more
than 150 shops. The project's total investment, including the land value, is
estimated at approximately EUR 240 million, with some EUR 40 million invested
to date. The target development margin is 15 per cent and the estimated yield
on cost at completion is 7.5 per cent. The shopping centre's pre-let rate is
about 30 per cent. 

- The Ratina shopping centre is Sponda's largest property development project.
The decision to move forward with the Ratina shopping centre is big news for
the city of Tampere and commerce in the Pirkanmaa region, as the new shopping
centre will support the city's growth and appeal as a place to live in and
travel to. It will reinvigorate the underused Ratina district. In addition, the
shopping centre will have direct and long-term effects on employment, says Kari
Inkinen, President and CEO of Sponda Plc. 

A new meeting place for the people of Tampere

The aim is to bring shops to Ratina shopping centre that have not previously
been seen in the Pirkanmaa region. The shopping centre will include two grocery
stores, specialty shops selling products and services in the areas of fashion,
wellness, interior design and recreation, as well as a diverse range of
restaurants and cafés. Examples of the new shopping centre's tenants include
K-Supermarket, Lidl, H&M, Fitness24Seven and Tullinkulma Occupational Health
Centre. 

In addition to providing high-quality shopping opportunities and restaurant
services, the shopping centre will strengthen the local community by creating
an excellent setting for diverse entertainment. The Ratina shopping centre will
be a lively hub where people can meet and spend their free time, while also
providing a stage for city events and culture. The consumer service experience
will be a key focus area for the shopping centre. This will also be supported
by digital services. 

A shopping centre comprised of three buildings

The shopping centre will be located in the Ratina district, next to the bus
station and Tampere Stadium. In addition to the newly constructed Valo-Ratina
building, the shopping centre will include two existing functionalist
buildings, Ranta-Ratina and Funkkis-Ratina, which will be renovated in a manner
that preserves their character and heritage. Moving between buildings will be
convenient in any weather through indoor passageways. 

The design of the property as a whole takes into account the district's
significance to the cityscape. The shopping centre will be part of a cityscape
in which the key elements are existing functionalist blocks of significant
cultural and historical value, a traditional factory milieu, the Tammerkoski
rapids and Ratina Bay. The newly constructed building will be a seamless fit
with its historically valuable setting. 

Due to its central location, the Ratina shopping centre is easily accessible by
foot, bicycle, car or public transportation. There will be parking for
approximately 1,250 cars. 

Environmental aspects will be a high priority at the Ratina shopping centre.
For example, the cooling of the shopping centre will utilise the cool water
masses that flow through Ratina Bay, and the heat generated by the shops'
refrigeration equipment will be utilised in heating the property. Warm air that
has circulated in the interior of the shopping centre is used to heat the
parking facilities. The aim is to apply for international BREEAM environmental
certification for the shopping centre. 

Media conference

Sponda is organising a Finnish-language media conference in Tampere today, on
Monday 30 March 2015, at 12:00 noon. Kari Inkinen, President and CEO,
Veli-Pekka Tanhuanpää, Senior Vice President, Property Development, and Henrik
Stadigh, Director, Shopping Centres, will be on hand to discuss the Ratina
shopping centre and the start of the project. The media conference will be held
in the Autotuonti building at Vuolteenkatu 11. Entrance to the event is from
Vuolteenkatu, across the street from the old bus station platform area. 

Pictures of the Ratina shopping centre are available online at
http://villivisio.kuvat.fi/kuvat/Tampere/. 


Sponda Plc


Additional information: Kari Inkinen, President and CEO,
tel. +358 400 402 653



Sponda Plc is a property investment company specialising in commercial
properties in the largest cities in Finland. Sponda's business concept is to
own, lease and develop retail and office properties and shopping centres into
environments that promote the business success of its clients. The fair value
of Sponda's investment properties is approximately EUR 3.1 billion and the
leasable area is around 1.2 million square metres.