Lintgen acquires T1 Mall of Tallinn for 55 million euros
Ellex Partners Toomas Vaher and Risto Vahimets and Senior Associates Marika Kütt and Alla Kuznetsova advise Lintgen Adjacent Investments S.à.r.l. on the acquisition of T1 Mall of Tallinn for EUR 55 million.
The bankruptcy trustees declared Lintgen Adjacent Investments S.à.r.l., the company representing the T1 shopping centre’s creditors, as the winner of the T1 Mall of Tallinn auction.
Toomas Vaher and Marika Kütt advised Lintgen in the pre-sale reorganization and bankruptcy proceedings.
“The purchase of a functional asset of this size from the bankruptcy proceedings has its own legal nuances, which adds to the complexity, but we have successfully overcome them. It is noteworthy that the shopping centre has managed to keep the whole process going throughout the proceedings – for that, we thank the centre’s customers, tenants and partners, as well as the bankruptcy trustees for their contribution and effort,” said Toomas Vaher, Ellex partner in Estonia.
The T1 Mall, south of the city centre, opened in 2018 but was dogged with problems even before the pandemic arrived, and was forced to declare bankruptcy in April this year.
An initial auction for the property, at Peterburi tee 2 in the capital, with an asking price of €85 million, drew a blank, as did a second auction with a starting price of €65 million – while four parties registered for the second auction, none bid in the event.
“Lintgen’s goal is to give the centre a new life,” said Jaan Lott, a commercial real estate expert and Lintgen’s advisor. “When Lintgen invested in T1, it supported the concept of a great location that will improve over time, given the Rail Baltic terminal being built. The building has great potential if managed properly by a professional team, which Lintgen proposes.”
According to Lott, the new owner highly appreciates the patience and efforts of the businesses and partners of the centre before and during the auction, as well as the professionalism of the bankruptcy trustees in conducting the entire process.
Lintgen will announce next week who will be the new CEO of the centre.