Unibail-Rodamco-Westfield SE Press Release: Westfield Hamburg-Überseequartier Project Update

Unibail-Rodamco-Westfield SE, a leading owner, developer, and operator of real estate assets in Europe and the United States, has announced a significant update on the Westfield Hamburg-Überseequartier project. The Total Investment Cost for the project has been revised to €2.16 billion, up from the initial estimate of €1.64 billion.

The increase in project cost is attributed to various factors, including a €160 million increase due to the delayed opening and water ingress, as well as a €360 million increase in cost overruns primarily related to change orders, quantity gaps, and provisions for claims.

Despite the increase in project cost, Unibail-Rodamco-Westfield reassures investors that this will not impact the 2024 AREPS guidance. Additionally, the Group’s H1-2024 LTV is expected to increase by +50bps. The company is currently reviewing mitigating measures to address the cost overruns.

Unibail-Rodamco-Westfield is known for its commitment to sustainable and high-quality real estate assets in dynamic cities. The Group operates 72 shopping centers in 12 countries, with a portfolio that includes iconic Westfield-branded centers. URW also has a development pipeline of €2.5 billion, focusing on mixed-use assets.

As a committed partner to major cities, URW is involved in urban regeneration projects and strives to make a positive impact on the environment, society, and economy. The Group’s Better Places plan aims to enhance sustainability standards in the cities and communities where URW operates.

For more information on Unibail-Rodamco-Westfield and the Westfield Hamburg-Überseequartier project update, interested parties can contact the Investor Relations team at URW.