Apollo got Metro

Apollo Real Estate Advisors, the US investment company, knows the Polish real estate market inside out though it has no office anywhere in Poland. Its bridgehead for 10 years is Apollo-Rida developer an investment company, a joint venture with Rida Development established and run by David Mitzner. But that's not everything. Apollo Real Estate Advisors is present in Poland, also through Regus Business Centre, renting small office space and the Ober-Haus real estate agents. The USA group is a majority shareholder in both firms.

Strong retail

Apollo Real Estate Advisors have been taking a hard look at Polish retail properties in Poland for some time. They admitted to that when talking with "Eurobuild" in October 2003 during Expo Real in Munich. John Ruane then stressed: "The retail sector is much stronger at present than the office or warehouse sectors". John Robertson, his colleague, added that is why Apollo is to invest on this market, though he gave no details. But in Warsaw much was being whispered of a company connected to Apollo-Rida which wished to purchase a large real estate package from the Metro AG consortium.

Going public in Cannes

The bubble of information burst in Warsaw late last year but it was only at the opening of the MIPIM fair in Cannes that official information was published. Apollo Real Estate Advisors and Rida Development Corporation (i.e. Apollo-Rida) chose that place to confirm officially that it was purchasing 28 shopping centres and hypermarkets. David Mitzner, President of Apollo-Rida and Rida Development commented the purchase of the Metro portfolio in a press release, saying: "We are hugely proud to be allowed to participate in such a milestone transaction. The successful conclusion of this contract is evidence of the tremendous effort made by all sides and also of good will displayed by them in operations throughout". He gave no further information on the matter after returning from Cannes to Poland. In Warsaw the transaction has yet to be given the seal of approval by the Ministry of Internal Affairs.