French personal insurance provider CNP Assurances has acquired a portfolio of over 7,600 affordable housing units from CDC Habitat worth €2.4 billion.
CNP Assurances acquired 85% of the company Lamartine, created for this transaction and managed by Ampère Gestion, a subsidiary of CDC Habitat, which retains 15% of the capital.
The company said this investment is aligned with its real estate growth strategy and the continued diversification of its assets and investments in this sector.
”It will enable CNP Assurances to rebalance its property portfolio allocation, which is currently oriented towards commercial assets, in the context of post-COVID uncertainties (inflation, remote working, e-commerce, etc.),” said the company in a press release.
“This investment, in a residential property stock with affordable rents and high environmental quality, is aligned with our role as a responsible investor and our purpose, which is to take action to achieve an inclusive and sustainable society. Beyond our contribution to combating inequalities in access to housing, the investment in residential rental property also benefits our policyholders by offering stable and resilient returns,” said Stéphane Dedeyan, Chief Executive Officer of CNP Assurances.
The portfolio stands out due to its affordable rental positioning, with 30% of intermediate housing units and 70% of free housing units at adapted rents.
Half of these are located in the Ile-de-France region, close to the main transport networks, and the other half are located in urban communities throughout France and in areas where the rental market is experiencing the most tension.
Over half of the existing stock is comprised of new buildings that comply with the most recent standards, and all of them (including properties in a sale-before-completion transaction (VEFA)) have environmental and energy performances that are among the best on the market, the company said.
CNP Assurances and CDC Habitat have adopted an exemplary socially responsible investment approach: the Lamartine fund is classified in article 9 under the European Sustainable Finance Disclosure Regulation.