Pramerica Real Estate Investors has completed the acquisition of the companies holding 118 Avenue des Champs-Elysées in Paris, a prime retail and office building, from listed Italian property company Risanamento, the company announced today. The asset was acquired on behalf of one of Pramerica's single client accounts.
The deal reflects Pramerica's commitment to expanding its client offering in Europe with a structural long-term focus on the Paris market. Pramerica currently has assets under management of 1 billion in France and in excess of $50 billion globally. Pramerica is the European arm of the real estate investment and management business of Prudential Financial, Inc. (NYSE:PRU), which is headquartered in the United States.
118 Avenue des Champs-Elysées is a landmark, multi-let office and retail freehold building located on the most emblematic avenue in Paris. It is an art-deco stone property that was refurbished in 2009 and provides Grade A retail and office space fully let to a number of blue chip tenants, including Mercedes Benz, Crédit Mutuel and Helaba.
Separately, Pramerica has also completed the sale of Avancée B, 6 Rue Claude Nicolas Ledoux, a Grade A office building located in Créteil, a suburb of Paris, to a French SCPI fund managed by Immovalor Gestion (Allianz group). The asset was sold on behalf of one of Pramerica's funds.
"118 Avenue des Champs-Elysées is a high quality retail and office asset on one of the most iconic avenues in the world, and we are very pleased to have been able to source this exciting investment opportunity and secure the acquisition, reflecting the strength of our European investment team." said Raimondo Amabile, Managing Director co-head of Europe for Pramerica. "We believe that prime retail assets with reversionary potential driven by continuing demand strength for a few key destinations, such as Avenue des Champs-Elysees in Paris, offer one of the best risk-return profiles in Europe at the moment."
"Avancée B was a forward-purchased office development we invested in and successfully leased up" added Olivier Astruc, Head of Transactions for Pramerica in France. "This investment is a good illustration of the value-add business plans regularly executed by Pramerica's transactions and asset management teams on behalf of investors."