Kenmore Property Group has bought the Astoria building in Rennes, northern France in what is the first first acquisition madeon behalf of its French office fund.The property has been acquired from Rennes-based developer Prodim in a forward funding deal. The 2,900 m² office development will be completed in January 2008 and is forecast to produce a yield of 7.5%. Colliers CLS Blot advised both parties.
Chris Pope, Managing Director of Kenmore's Paris office said : "This is the first investment on behalf of the Kenmore Office Fund and our objective is to invest 100 million during the next 12 to 18 months on speculative office buildings in regional towns throughout France."
Kenmore, a co-investing, trading and development property and fund management group, has been active in the French property market since 2002. Following a number of acquisitions, the company manages a French portfolio of 60 properties with a cost value of approximately 210 million and is actively seeking to increase the volume of its investment. The company's Paris office opened in August 2004, headed by Chris Pope and there is now a team of eight.