Allianz buys 50% of Budapest mall

The German insurer, which is making a big push into property, is acquiring 50 percent in Allee Shopping Centre for around €100m

Allianz Real Estate Germany is investing around 100 million in a Budapest shopping centre.

The insurance firm, which last year said it was going on a major property investment spree, has bought a 50 percent stake in Allee shopping centre from Dutch company, ING Real Estate Development.

ING will keep the remaining half share and will mange the centre.

Allee opened in November last year with all retail units fully leased and is located in a catchment area with  500,000 inhabitants.

Stefan Brendgen, chief executive of Allianz Real Estate Germany, said one of the firm’s strategies was to focus on investments in cities in eastern European countries and also increasing retail property in its portfolio. He said recent acquisitions were a prelude to a period of “a period of intense acquisition” in 2010.

Maarten de Jong, chief financial officer of ING Real Estate Development said it was the first major real estate investment in Hungary and the CEE region in more than a year.