LaSalle Investment Management and Morley Fund Management announced that its European open-end flagship fund Encore+ has signed an agreement to acquire Metzanine, a new generation retail park on the outskirts of the city of Metz, France for an undisclosed sum. MAB Bouwfonds, the developers of the 18,137 m[sup]2[/sup] site was the vendor. Metzanine recently received the Valorpark industry award which is a merit for exceptional standards.
LaSalle Investment Management and Morley Fund Management announced that its European open-end flagship fund Encore+ has signed an agreement to acquire Metzanine, a new generation retail park on the outskirts of the city of Metz, France for an undisclosed sum. MAB Bouwfonds, the developers of the 18,137 m2 site was the vendor. Metzanine recently received the Valorpark industry award which is a merit for exceptional standards.
According to the company statement, the acquisition brings the total GAV of the fund to nearly EUR 800mln. It also increases the total retail portion of the portfolio to EUR 300 mln and will see the French retail share of the portfolio increase to more than EUR 150mln.
Andy Watson, LaSalle Investment Management, Acquisitions commented: The French retail sector comes with relatively high barriers to entry, making this acquisition a strategic choice of stock. Retail properties make up the backbone of Encore+ and are located in the core institutional grade markets of France and Germany, delivering on our commitment to provide the ‘core’ and the ‘plus’ in the strategy of the Fund. Coupled with Morley’s expertise, Encore+ is supported by our retail asset management teams in Munich and Paris, who support the portfolio with their deep experience.’
Gil Bar, Encore+ fund manager at Morley, said: 'These recent income producing retail acquisitions will further boost the well-diversified Pan-European Encore+ portfolio which covers the retail, offices and logistics sectors. Investors have benefited from the Fund’s strong income profile and overall out performance of its target of 8.5% since its launch in June 2006. Furthermore, the Fund’s business plan forecasts similar out performance, strongly driven by the upcoming asset management initiatives.'
