1. Israel: Investment firm acquires hotel operator
Israeli real estate investment firm Israel Canada said it plans to acquire the operations and property portfolio of Brown Hotels Collection at a time when travel demand in Israel has weakened significantly amid conflict in Gaza.
Under non-binding memorandums, the deal by the Tel Aviv-based companies includes debt assumptions and payments totaling about $26 million, with an Israel Canada subsidiary to take over 25 Brown locations in Israel, Greece and Croatia. The deal announcement came as analysts such as Joseph Fischer of Vision International estimated it could take 12 to 18 months for many international airlines and tourists to return to Israel, even if fighting in Gaza stops immediately.
2. UK: JLL launches hunt for London West End office
Brokerage JLL has begun reviewing options for a new office hub in London’s West End as part of larger reconfiguring of its operations in the city.
A company statement said JLL is weighing options for a West End space of around 15,000 square feet to support brokers and clients in that area, aligning with a planned move to a new flagship office at 1 Broadgate in central London in 2026. Sources said the announcement will put developers of the West End’s most sustainable offices on particular alert.
3. France: Unibail sells office space at Paris property
French real estate investment giant Unibail-Rodamco-Westfield plans to sell office space within a Paris mixed-use complex to a joint venture of investors in a deal valued at €172.5 million, the latest property sell-off this year.
A URW statement said a signed agreement calls for offices in the company’s Les Ateliers Gaîté retail and residential complex to be sold to a venture that includes Swiss Life Asset Managers and Norges Bank Investment Management, with the sale expected to close in this year’s fourth quarter. URW said it has €800 million in sales transactions completed or pending so far in 2024 as it looks to reduce debt, and it remains in “active discussions with potential buyers” on another €600 million in planned disposals.
4. Germany: GLP to redevelop Renault logistics center
Car maker Renault sold its 128,000-square-meter logistics center in Brühl near Cologne, Germany, to developer GLP, which plans build a new logistics complex on the site.
GLP officials said the developer will lease back a planned new facility spanning 27,000 square meters that it will custom-build for Renault. In the meantime, the automaker will continue to manage its spare parts distribution for Germany from the existing warehouse. GLP expects a first-half 2028 completion for its redevelopment, also planned to include another logistics building spanning 40,000 square meters.
5. Canada: Senior housing occupancy predicted to climb
The national occupancy level for senior housing in Canada is expected to surpass pre-pandemic levels by year end as demand grows and new development slows, according to a new report from Cushman & Wakefield.
The brokerage said the category’s national occupancy rate to date is at 88%, up 4 basis points from a year earlier, with several Canadian regions reporting mid-90% occupancy, pointing to favorable supply and demand fundamentals for developers. The increasing size of Canada’s elderly population and the need for rental housing catering to seniors is creating “meaningful growth” for demand that is expected to extend over the next 20 years.
6. US: Ruling to stop warehouse project reflects nationwide pushback
Nearly two years after a sprawling business park development received county approval in Southern California, a judge has ordered a pause on all construction of the project in a temporary victory for opponents of warehouse development near residential areas nationwide.
Plans called for 213 acres in Bloomington, California, to be developed into an industrial property including e-commerce facilities and warehouses. The project includes demolition of 117 houses and an elementary school, and some of those properties have already been razed. Construction was halted until a report on its potential environmental effects is modified to meet state standards at a time when warehouse development across the country has accelerated to meet growing e-commerce demand and some communities are pushing back.
This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.