Schroder Property Investment Management has completed its first acquisition in France on behalf of Immobilien Europa Direkt, an investment group of the Zurich Investment Foundation.
Immobilien Europa Direkt has acquired together with Malakoff Médéric, a French insurance company, the Chevaleret office property located in the 13th district of Paris, near the Paris Rive Gauche area, one of the most significant development areas in Paris.
The property is a 23,000 sq m nine-storey office building that is undergoing a complete refurbishment and will be delivered end of 2015. The total investment volume will be approximately EUR120 million. The property is 65 per cent pre-let to a major tenant on the basis of a nine year lease.
Tony Smedley, head of Continental European investment at Schroder Property, says: “This represents a significant step forward for Immobilien Europa Direkt. The property fundamentals are excellent and the return profile very attractive. We like the dynamics of the Paris office market and this property is very accretive to our pan European portfolio.”