Restructuring the combination of use in Shopping center Heart of Athens and enhancing its appeal with new development on an adjacent two-acre parcel of land currently being explored AEEAP Premium Real Estatein close collaboration with National Bank, which is the sole creditor of a special purpose vehicle (Doreco) that owns a shopping center located at the intersection of Piraeus and Hamosterna streets. Both sides are looking for a solution that will solve Doreco’s €55 million debt problem while at the same time maximizing Athens Heart’s revenue, which has been declining in recent years.

It is recalled that the property in question was excluded from the Pasal Development (now Premia Properties AEEAP) consolidation agreement, as a result of which it is not consolidated with the listed company, and the income from its activities is used to repay Doreko’s loan. In this context, one solution that seems to have received support is to “haircut” the Doreco loan to 15.7 million euros. In conjunction with this, Premia will also acquire from Ethniki the adjacent piece of land, which, due to its facade on Piraeus Street, is considered particularly important in terms of its future use. In particular, an additional 3,200 sqm facility could be built on said site, which would work in conjunction with the 22,000 sqm heart of Athens, adding, for example, a residential complex. commercial or recreational use. The specific property was owned by Premia (then Pasal) and in the past it was required to turn it over to the bank in exchange for a reduction in its bank loan even before a consolidation plan was agreed upon and a strategic investor entered the equity of the listed company.

However, Premia Properties’ management also intends to restructure the use of the mall once the process of regulating its lending is completed. According to the information, the possibility of creating a multifunctional building for trade, offices and possibly education, in combination with the neighboring property to be acquired, is being studied. The goal is to maximize the performance of the property.