InfraRed Capital Partners (InfraRed), in joint venture with Générale Continentale Investissements (GCI), announces the acquisition of the T9 office tower located in Montreuil, an Eastern suburb of Paris, from a fund managed by The Carlyle Group.
The asset is well-situated outside a metro station and in an area which has benefited from extensive regeneration, including the opening of a new shopping centre, residential buildings and a new cinema and theatre. The building consists of 42,860 sqm of office space, a staff restaurant as well as parking space for 386 vehicles. It has recently been retrofitted to gain a green HQE (Haute Qualité Environnementale) rating. The building is currently let to three tenants for approximately 50% of the office space.
Cédric Vallin, responsible for French Investments at InfraRed, said:
“We are delighted to expand our French portfolio with this quality asset. Our strategy on this building is to re-think the positioning by improving the services and the common areas, setting more competitive rents and establishing a new and active marketing campaign. This will enable us to realise the full potential of the asset and to reap the benefit of the local regeneration.”
Raphael Raingold, Head of Investments at GCI, said:
“T9 office tower matches GCI’s target segment of accessing quality assets in growing markets. The local authorities have significantly re-urbanised the area in recent years. With the asset repositioning we plan to implement, we are confident we will attract quality tenants for the vacant space.”
The vendor was advised by BNP Paribas Real Estate and Cushman & Wakefield. The debt financing for the acquisition has been provided by Deutsche Pfandbriefbank AG. The buyer’s advisors included Gide and Etude Le Breton & Associés for the acquisition and Olswang for the debt financing.