„Visitors of our shopping centres welcome opening of new brand shops, revamping of their favourable shops, as well as entertainment and services offered in Akropolis centres. In close cooperation with our tenants and investing in the renewal of spaces, we seek to meet both the expectations of visitors and the need of the tenants themselves to operate in modern and regularly renewed shopping and entertainment centres. This, along with the historically biggest first half-year turnover of Akropolis tenants, facilitated the increase in the financial performance of the group,“ says Nerijus Maknevičius, the CEO and the chairperson of the Board of Akropolis Group.
Keeping the rental areas vacancy rate at very low 2%, based on consolidated data, the rental income of Akropolis Group, amounted to EUR 43.9 million in the first half of 2024 and grew by 8.5% compared to the first half of 2023. The Group’s revenue was EUR 60.6 million and grew by 7.3% over the comparable period, its earnings before interest, tax, depreciation and amortisation (EBITDA) was EUR 42.8 million or 7% more than for the same period last year.
New and revamped shops
66 shops were opened or revamped in three shopping and entertainment centres managed by Akropolis Group in Lithuania and two in Latvia in the first half of the year: 43 in Lithuania and 23 in Latvia.
Newly opened or revamped shops included 20 shops in Vilnius Akropolis, 12 shops in Klaipėda, and 11 shops in Šiauliai. There were 23 such shops in the Latvian shopping centres: 11 in Akropole Alfa and 12 in Akropole Riga. Many tenants in the latter also carried out minor repairs of their premises in the first half of 2024.
A number of new brands found home in our shopping and entertainment centres. Knygos.lt, Danija, Simitri, Stenders, Hobby shop, West Express and other shops opened in Vilnius Akropolis in the first half of the year, while Stradivarius, Pull & Bear, McDonald’s had their premises revamped. At the beginning of September, a pop-up Tesla shop, the first of its kind in the Baltics, started its operation in Vilnius Akropolis. A new Mohito shop, revamped shops Bershka, House, Audimas, Creme le la Creme and others welcomed their visitors in Klaipėda Akropolis in the first half of 2024. Maxima XXX, fundamentally renewed and modernized, is set to open its doors for visitors on 12 September. In Šiauliai Akropolis, Reserved, Drogas expanded and revamped their premises, new shops Best for and Koljė opened. Visitors of the shopping and entertainment centres in Latvia can also enjoy new shops: Akropole Riga now houses Weekend Max Mara, Penti, Timberland and other new shops, Akropole Alfa welcomed HairRiga and Baitukas, while Denim dream, Meness aptieka, Rosme and other shops expanded their sales floors.
Investments in Klaipėda and Vilnius
The project of renewal and modernisation of the interior design of common spaces in Klaipėda Akropolis, which started last year, into which the company is investing about EUR 8 million, is approaching the end and will be completed in the autumn this year. The renovation of the area of over 10,000 square metres in this shopping and entertainment centre is coming to an end with changes in the interior design of the common spaces, lighting solutions, sanitary facilities, introduction of new rest zones and free children’s play areas, as well as modern childcare rooms.
A new building has emerged nearby Vilnius Akropolis, where Sportland shop, the biggest and most modern in Lithuania, welcomed its visitors in August, after connection of the new building with the earlier premises of the shop. Akropolis Group invested about EUR 1 million into the construction of this new 480 sq. m building.
In addition to the five shopping centres operating in Lithuania and Latvia, Akropolis Group continues developing the project of the multifunctional shopping and entertainment complex Akropolis Vingis in Vilnius, Lithuania. After the Vilnius City Municipality approved of the changes in the updated design proposals in February this year, Akropolis Group finalised the technical design of the complex and obtained a document permitting construction for the project at the end of August. The development of the Akropolis Vingis area goes along with traffic infrastructure improvement projects, integrally related to the quarter under development. Their detailed technical designs are also presented to the municipality in order to obtain documents permitting construction for them, too. Upon receipt of all necessary construction permits, Akropolis Group will prepare detailed project implementation plans, will select optimal financing solutions.
Maknevičius also highlights the fact that this summer the international rating agencies Fitch Ratings and S&P Global Ratings re-confirmed BB+ ratings with a stable outlook granted to Akropolis Group.
„After new evaluation of the group’s performance and other circumstances, the leading global rating agencies kept high BB+ ratings with a stable outlook granted to the group, which we have managed to maintain for the third year in a row. This recognition is important not only for us but also for our partners and investors who can witness the stability of the group’s business, its strong position in the Baltic market of shopping centres and growth of its financial results,“ the CEO and the chairperson of the Board of Akropolis Group underlines.