First Property Group PLC said Wednesday it has secured commitments from investors to pump EUR33 million into Fprop Phoenix Ltd, the holding company for Krakow Business Park, Poland.
First Property acquired the principal operating companies that own most of the properties within the park in September 2017. Investors in the current funding round includes Willis Towers Watson Partners Fund, Christ Church, Oxford, St Catherine’s College, Oxford and Christ’s College and Cambridge.
The property company is not taking part in the fundraising, and currently owns a 23% stake in Fprop, which is due to be renamed Eximius Park. In addition to earnings gained from its shareholding in the business park, the group will earn management fees of EUR360,000 per annum.
“We fully expect to make Eximius Park the best business park in and around Krakow. The buildings on the park provide excellent office space but we shall be expanding its facilities to make it a home away from home for its tenants. Our plans include a new sports ground, park area, additional car parking, a free bus service for all tenants, a refurbished railway station with an improved frequent service to central Krakow, new retail facilities, top of the range restaurants, a kindergarten and much much more,” said Chief Executive Ben Habib.
Shares in First Property Group were up 2.6% at 48.75 pence on Wednesday.