On September 30, Unibail-Rodamco-Westfield (URW) signed a promise of sale for office space in the "Les Ateliers Gaîté" mixed-use complex in Paris's 14th arrondissement, in the heart of the Montparnasse district, with a joint venture. The JV comprises Swiss Life Asset Managers and Norges Bank Investment Management. The transaction is worth €172.5 million.
In detail, the office space in this mixed-use complex comprises 12,500 m². They are leased in their entirety by Wojo, the Accor group's coworking operator.
In a press release, URW states that the transaction reflects "a 4% discount to the last unallocated book value", and that it will be finalized in Q4 2024, subject to the lifting of the usual conditions precedent. With this disposal, the Group has now completed or secured €800 million of transactions in 2024, "which will reduce our proportional net debt by the same amount", it adds. In addition, the group adds that it remains engaged in "active discussions with potential buyers" on a further 600 M€ of disposals.
Swiss Life Asset Managers also announced the acquisition, which was made with Norges Bank Investment Management on behalf of their joint investment vehicle. The company is investing in the asset on behalf of Swiss Life Group entities, with a 35% stake, for a total of €60.4 million. It will be responsible for asset management. Norges Bank Investment Management will hold 65% of the assets for €112.1 million.
" This latest transaction underscores our ability to acquire quality real estate assets with local, expert teams in Paris and Berlin, two dynamic, forward-looking cities with exemplary development ambitions in terms of sustainable development and modernization", emphasizes Swiss Life Asset Managers.
As a reminder, the "Les Ateliers Gaîté" complex has undergone a major five-year redevelopment by Unibail-Rodamco-Westfield, in partnership with the City of Paris, for a total investment of over €500 million. The metamorphosis, designed by Dutch agency MVRDV, is scheduled for completion in 2022. In addition to offices, the complex also includes the Les Ateliers Gaîté shopping center, owned and operated by URW, the Pullman Paris Montparnasse hotel, residential and retail space.