MONS, BELGIUM-Belgian REIT Wereldhave Belgium, a subsidiary of Dutch REIT/FBI Wereldhave, has agreed to buy the bulk of ING Real Estate Development's Belgian development portfolio for a total investment that will ultimately reach $197 million. The move will make Wereldhave a major player in the Belgian shopping center market, where it aims to expand its portfolio to around $657 million.

ING staff in Belgium will transfer to Wereldhave as part of the deal, due to be completed before year-end. Wereldhave Belgium MD Hans Pars commented: "The Belgian market for shopping centers is characterized by a relatively small number of shopping centers that are scarcely offered for sale. This transaction cuts both ways. On the one hand, we expand our development portfolio, which enables us to generate above-average yields, thus creating value for shareholders. On the other hand, we strengthen our organization with a very experienced development team."

The portfolio consists of five projects, including a $79 million redevelopment in Waterloo and the $59 million redevelopment and expansion of a mall in Genk in partnership with Redevco. All five projects are still in their early stages and initial investment is therefore limited to $26 million. The first projects will be transferred to the investment portfolio before the end of 2013. The average net initial yield after completion is expected to be around 7%.