Redevco, the Pan-European retail real estate investment manager, acting on behalf of one of its investor clients, has acquired a super prime retail asset in the heart of Paris’ luxury retail area, Rue de la Paix, from a fund managed by the global real estate investment manager Savills Investment Management. The amount of the transaction is not being disclosed.
The 740m² property, comprising two retail units, is exceptionally well-located on the Rue de la Paix only a few 100 metres away from the renowned key luxury retail location Place Vendôme. This premium retail area is home to famous Parisian hotels and restaurants including Le Ritz, Lemeurice and Le Carré des Feuillants, generating a significant flow of wealthy tourists. The property is currently occupied by Tiffany & Co and Glasshütte.
Andrew Vaughan, Redevco’s CEO, said: “We see retailer demand for luxury retail locations increasing rapidly as the luxury sector is one of the main drivers of the Paris retail market. With little suitable property available in the core high-end retail areas in the city, like Avenue des Champs Elysées, Rue Saint-Honoré and Place Vendôme, neighbouring streets benefit from this dynamic and become progressively popular with new luxury retailers.”
Ian Jones, Fund Director for the European Retail Fund at Savills IM, said: “This was the fund’s first acquisition, a prime retail building in the heart of Paris’ prime shopping district, and offered a combination of attractive income and asset management opportunities which we have successfully completed. We are delighted to have completed the sale to a buyer of the quality of Redevco.”
Savills was instructed for the sale on behalf of the Savills IM European Retail Fund. The seller was advised by Simmons & Simmons, Fidal, C&C Notaires and Cabinet MDA, while Gide,Ernst & Young, Allez et Associés and Elan advised the buyer.