As part of its growth strategy, Parque Arauco S.A. (PARAUCO.SN), through its subsidiary Parque Arauco Colombia S.A.S., announced the signing of an agreement to acquire for USD 15 million, 47.5% of the fiduciary rights held by Colvalor - Propiedades Colombianas S.A.S., a subsidiary of Blackstone Inc., in the Parque Alegra shopping center located in Barranquilla, Colombia.

With this transaction, Parque Arauco completes its ownership in the asset by obtaining 100% of the fiduciary rights of the autonomous patrimony in which the property resides.

Once the conditions agreed upon in the contract are met, Parque Arauco will pay Colvalor approximately USD 15 million for the stake in the investment vehicle, valuing Parque Alegra's assets at around USD 94 million, equivalent to USD 1,990 per sqm of Gross Leasable Area (GLA). The funds for this purchase will come from Parque Arauco Colombia's operations.

Diego Bermúdez, CEO of the Colombia Division, commented, "Taking full control of Parque Alegra reaffirms our commitment to growth in Colombia, after the significant steps taken in recent months including the increased ownership stakes in Titán Plaza and Parque Fabricato. We have high expectations for the future growth of the shopping center and the area, which supports our effort and commitment to both."

The executive added that "Parque Alegra has positioned itself as the largest shopping center in southern Barranquilla, with a strong focus on gastronomy and entertainment and a mix of brands with a strong influence in the local market, making it one of the most attractive offerings in the area where it is located."

The Parque Alegra shopping center is a regional asset with 47,000 sqm of GLA and is located on the main avenue connecting the north and south of the city. It was inaugurated in 2022 and features more than 270 national and international brands in fashion, services, and entertainment, including Falabella, H&M, Cine Colombia, Ishop, and Ktronix, as well as the largest gastronomic offering in the area. Additionally, Parque Alegra's presence in the city has contributed to the economic and social development of the area, attracting both residents and tourists and generating a strong commitment to the local community.

The asset is showing an attractive maturation process with a current occupancy rate of 83.7%. In the first quarter of 2024, tenant sales experienced a growth of 22.9% and EBITDA reached USD 3.4 million (COP 13.870 billion) over the past 12 months. These figures have a positive outlook to increase in the coming years, thanks in part to future rent hikes already stipulated in tenant contracts. Occupancy continues to be on the rise and moving towards consolidation in line with the rest of Parque Arauco's portfolio of assets in Colombia, which stand at 94.8% average occupancy rate.

Parque Arauco has seven shopping centers in Colombia, representing almost 255,000 sqm of GLA and about 1,000 tenants. Besides Parque Alegra in Barranquilla, the Colombian portfolio includes Parque Fabricato in Medellín, Parque Caracolí in Bucaramanga, Parque La Colina and Titán Plaza in Bogotá, Outlet Arauco Sopó in Cundinamarca, and Parque Arboleda in Pereira. Additionally, there are 3 multifamily projects under construction, Multifamily Ciudad del Río in Medellín, and Multifamily Calle 72 and Multifamily Calle 94 in Bogotá.

About Parque Arauco

Currently, Parque Arauco has a total of 1,176,500 m² of GLA across Chile, Peru, and Colombia. The company inaugurated its first shopping center in Chile in 1982, expanded into Peru in 2005, and entered Colombia in 2008. For more details, visit the company's website: www.parauco.com.

Lauren Brown Head of Investor Relations lbrown@parauco.com (56 2) 2299 0608