Hines, acting on behalf of its European Core Fund (HECF), has agreed to acquire a prime flagship store occupied by Yves Saint Laurent in Paris, France. Located in the 1st arrondissement of Paris, on the corner of rue St. Honore and rue de 29 Juillet, the property sits between the Place Vendome and the Louvre. It provides a total area of 795m² across three floors. Yves Saint Laurent is completing an extensive internal fit-out and has committed to a long-term lease. The purchase price was not disclosed.
The store had been occupied by the famous concept store Colette since the mid-1990s. Over the years, the area around this location has gained prestige as a sought-after retail location in Paris with strong tourist footfall and a high concentration of luxury brands, such as Chanel, Louis Vuitton, Dior, Moschino and Sandro.
Peter Epping, Senior Managing Director and HECF Fund Manager, said: “The Fund has been actively searching for high street retail opportunities in central Paris. This acquisition is perfectly in-line with our investment criteria and the acquisition is an excellent addition to our existing portfolio of prime high street retail as well as office assets. The Fund remains committed to acquiring very strong assets that even in this stage of the cycle still have attractive growth potential, and which are located in dynamic retail clusters, characterized by high tourism footfall and strong fundamentals.”
Xavier Musseau, Managing Director for Hines France, said: "213 Rue Saint Honore was the home until last year of the influential Parisian boutique Colette and is an iconic address in Paris. The boutique will welcome prestigious brand Yves Saint Laurent at the start of 2019. After the acquisition of the Apple Store on the Champs Elysées, we are very pleased to expand our high street retail portfolio in the luxury sector with our European Core fund HECF. This off-market deal shows yet again that we can position ourselves to conduct transactions quickly providing surety to the sellers."
