Rodamco Europe acquires Ã¢âÂ¬ 19 million retail properties from Bail Investissement and sells its Ã¢âÂ¬ 46 million industrial portfolio in France to the French listed property company.
Rodamco Europe and Bail Investissement have agreed on the acquisition by Rodamco Europe of an additional part of the existing super regional shopping centres Parly 2 and Velizy 2 in Paris, comprising 2 retail units of 4,200 mÃÂ² and 3,500 mÃÂ² respectively. The purchase price for the two investments amounts to Ã¢âÂ¬ 19 million with a net initial yield of 6%. Parly 2 and Velizy 2 are superregional shopping centre of 87,000 mÃÂ² and 98,000mÃÂ² respectively, located on dominant positions in the west part of Paris, where they benefit from a wealthy trade area. With this acquisition Rodamco Europe owns 25,800 mÃÂ² in Parly 2 and 16,500 mÃÂ² in Velizy 2. In exchange, Bail Investissement acquired Rodamco Europe´s French industrial portfolio for a total amount of Ã¢âÂ¬ 46 million with a net initial yield of 9%. This portfolio reinforces Bail Investissement´s position in the logistic real estate sector. The transaction will be completed at the end of September 2003.
Rodamco Europe´s CEO Maarten Hulshoff commented: 'This transaction brings the total portfolio of Rodamco Europe in France to an amount of Ã¢âÂ¬ 1.120 million and reinforces Rodamco Europe as one of the largest investors in retail properties in France. The shift in the French portfolio reflects Rodamco Europe´s strategy to focus on top quality retail and reduce the office as well as the industrial exposure. Both Parly 2 and Velizy 2 are important shoppingcentres within Rodamco Europe´s total portfolio and Rodamco Europe is very pleased it has managed to further increase its shareholding in these prestigous centres. Rodamco Europe will continue to focus on top quality retail in dominant locations, where it can add value through active retail management. Following this transaction Rodamco Europe´s portfolio in France consists of 93% mainly top quality retail properties and a mere 7% in offices.'
Bail Investissement is acquiring Rodamco Europe´s whole recent French industrial portfolio of 125.000 mÃÂ², developed on three logistic sites. All three sites are located near Paris, in St Ouen l´AumÃÂ´ne with 42.000 mÃÂ², two buildings, one is located in Bussy St Georges with 17.400 mÃÂ² and one in Ris Orangis with 66.000 mÃÂ², three buildings. The acquisition reinforces Bail Investissement´s position in the logistic real estate sector. Through this acquisition its industrial portfolio now comprises more than 650.000 m2 logistics assets in France with a value of Ã¢âÂ¬ 335 million.
Source: Rodamco Europe