Pramerica Real Estate Investors has completed the acquisition of 118 Avenue des Champs-Elys茅es in Paris, a prime retail and office building, from listed Italian property company Risanamento.
Pramerica Real Estate Investors has completed the acquisition of 118 Avenue des Champs-Elys茅es in Paris, a prime retail and office building, from listed Italian property company Risanamento.
The asset was acquired for 鈧�135 mln on behalf of one of Pramerica鈥檚 single client accounts.
According to a Risanamento spokesperson, the Milan-based company sold the landmark asset in the French capital after receiving an expression of interest from Pramerica. 'This property was not sold through a sale process. Risanamento received an unsolicited bid and decided to dispose of the property because the offered value was estimated to be adequate,' the spokeswoman said.
Pramerica said the deal reflects its commitment to expanding its client offering in Europe with a structural long-term focus on the Paris market. The company, the European arm of US group Prudential Financial, currently has assets under management of 鈧�1 bn in France.
118 Avenue des Champs-Elys茅es is a landmark, multi-let office and retail freehold building located on the most emblematic avenue in Paris. It is an art-deco stone property that was refurbished in 2009 and provides Grade A retail and office space fully let to a number of blue chip tenants, including Mercedes Benz, Cr茅dit Mutuel and Helaba.
Separately, Pramerica has also completed the sale of Avanc茅e B, 6 Rue Claude Nicolas Ledoux, a Grade A office building located in Cr茅teil, a suburb of Paris, to a French SCPI fund managed by Immovalor Gestion, part of the Allianz group. The asset was bought as a forward purchase, leased and then put back onto the market on behalf of one of Pramerica鈥檚 funds.
Financial details were not disclosed.
'We believe that prime retail assets with reversionary potential driven by continuing demand strength for a few key destinations, such as Avenue des Champs-Elysees in Paris, offer one of the best risk-return profiles in Europe at the moment,' said Raimondo Amabile, Managing Director co-head of Europe for Pramerica.
Pramerica is working on the 118 Avenue des Champs-Elys茅es investment with EPPOF Capital Management, and was advised on the acquisition by lawyers De Pardieu Brocas Maffei and notaries Allez & Associ茅s.
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