Gecina acquires 112,000m

On May 25, GECINA completed the acquisition of a portfolio of office properties, buying out the entire capital of the companies that owned these buildings from Standard Life Investment, represented by Newport SA.

This transaction represents a total surface area of nearly 90,000 sq.m, comprising five complexes located in the 12th arrondissement in Paris, Montrouge, Suresnes and Poissy.

Built recently, these assets are rented out to international companies and generate €23.3 million in annual rental income (net of building operating costs), with nearly 60% guaranteed by closed leases for eight years or longer.

Furthermore, on May 27, GECINA signed an agreement with ING to acquire a 100% stake in the company owning the “Le Banville” building in the 17th arrondissement in Paris. This multi-tenant office and retail complex represents a total surface area of 21,500 sq.m and €9.8 million in net rental income per year.

These two transactions concern a total amount of €423 million, with a net yield of 7.83%.

Jones Lang Lasalle was the broker for both of these transactions.

These acquisitions are in line with the Group’s development strategy and will contribute to improving its profitability indicators as of this year, with an additional €19.2 million in net rental income for 2004.

Source: Gecina

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