AEW, the global real estate investment manager, has acquired an office complex in the CBD of Paris, on behalf of a separate account mandate with the German public pension fund, Rheinische Versorgungskassen (RVK), from HANSAINVEST Real Assets.
The complex was built in the 19th century and redeveloped in the second half of the 20th century and comprises a nine-storey property on Rue Jouffroy d’Abbans and a six-storey building on Rue de Prony. Altogether, the complex provides 3,470 sqm of retail and office space. The retail space is let to Carrefour City and the office space is fully let to seven tenants from a well-diversified range of sectors.
Located in the CBD of Paris in the 17th district, the asset is in a sought after location in close proximity to the exclusive residential area around the Parc Monceau.
This is the first transaction for the separate account mandate, which has a core investment strategy focused on French office and retail assets and was awarded to AEW in December 2019 following a competitive tender process. The mandate has a total investment capacity of EUR250–EUR300 million, including leverage of between 40-45 per cent.
“This acquisition marks our first for RVK and is strongly aligned to the mandate’s strategy of investing in high quality core investments in Paris. AEW was selected by RVK due to the strength of our network in France, as well as our expertise across our pan-European platform. We continue to monitor a pipeline of opportunities as we look to grow the portfolio in Paris, where we are confident in the long term outlook for one of Europe’s leading cities,” SAİD Marc Langenbach, Head of Funds & Separate Accounts Germany, at AEW.
AEW was advised by Prud’homme & Baum, BG2V, Elan, Burgeap and Ernst & Young. CBRE France and LPA – CGR avocats acted for the vendor.