Unibail-Rodamco-Westfield (URW) has reached an agreement with Societe Generale Assurances and BNP Paribas Cardiff to sell a 45% stake in the Westfield Carré Sénart shopping centre, Greater Paris, and enter into a long-term joint venture and management contract to provide asset and property management services. The implied offer price at 100% is in line with the last appraisal value of c. €1bn. As part of the transaction, a consortium of banks has underwritten a secured financing package of up to €310m for the joint venture. The IFRS net debt reduction for URW is expected to amount to €280m. URW has granted the Investors a rental guarantee of up to €13.5m (at 45%) for a duration of up to three years from the closing of the transaction.
Westfield Carre Senart is a 117,000m² shopping and leisure destination. Following two extensions delivered in 2017 and 2019, the centre attracted close to 12 million visits in 2019 and is the 10th most visited shopping centre in France. The centre also benefits from a BREEAM Excellent rating.
Commenting on the announcement, Jean-Marie Tritant, Group CEO of URW, said: “We are pleased to announce the completion of this transaction and the creation of a long-term partnership with two leading French institutional investors. The agreement is fully in line with our European disposal strategy to find the right joint venture partners for select assets, allowing us to release capital while continuing to leverage our established management capabilities.”
