SFL to sell IN/OUT building to Primonial
SFL, the French subsidiary of the Colonial Group, is to sell the 35,000 sq m IN/OUT building, located in the Boulogne-Billancourt district in Paris, to French fund Primonial.
“This transaction highlights the success of the value creation strategy implemented by the Colonial Group and in this particular case executed by our French subsidiary SFL” says Pere Viñolas CEO of Colonial.
The IN/OUT building was designed and built by SFL through a redevelopment of the historical Phillips headquarters in Paris. The repositioning Project of the asset allowed the creation of a big office complex with 35.000 sq. m equipped with the most advanced services and the maximum environmental sustainability certifications. After completion of the works, IN/OUT hosted the headquarters of the Organization for Economic Cooperation of Development (OECD) that in 2015 signed a lease agreement for 12 years. Following the completion of the real estate repositioning, Colonial completes the value creation divesting this asset with a premium on appraisal value crystalising maximum returns.
“We have been able to capture maximum returns through the full real estate value chain, identifying first an opportunity of repositioning an asset, creating a quality product for the market, closing a long term leasing agreement with a high solvency tenant, and signing the sale of the asset at the optimal timing for this asset,” says Juan José Brugera, Chairman of Colonial and SFL.
The terms of the deal are being kept confidential until final closing.