InfraRed Capital Partners has acquired a 50,000-m2 portfolio of 14 industrial estates located in the Paris region from Braxton Value Creation 1 for €50 mln.
The acquisition was made on behalf of InfraRed Active Real Estate Fund IV.
The portfolio assets, accommodating a diversified occupier base of 18 tenants, are located in established industrial and warehousing clusters on the outskirts of Paris and includes properties in Malakoff, Argenteuil and Palaiseau, typically 20 minutes’ drive from Inner Paris.
InfraRed acquired the portfolio to implement a value-add strategy, substantially growing the portfolio income by combining numerous refurbishment and letting initiatives.
Quentin Kerrault, investment director and head of France, commented: 'We are delighted to have acquired this portfolio. The strong locational fundamentals of the assets combined with structural demand trends from fast-growing last-mile distribution requirements offer a great opportunity to apply our long-standing industrial sector know how. We look forward to implementing our value add programme and to expanding this portfolio through further acquisitions.'
Andreas Katsaros, director of real estate and head of strategy, said: 'This acquisition expands the last-mile industrial holdings of our Active Fund IV into the Paris region. We expect the portfolio to benefit from the twin-effects of continued urbanisation of the Paris region and the accelerating expansion of e-commerce-based warehousing requirements. The acquisition is highly complementary to the Fund’s growing UK industrial portfolio and its office and residential holdings in Germany, France and Dublin. We continue to expand our programme of value-add investing in sectors and locations propelled by technological, demographic and infrastructure changes. This portfolio strongly matches these criteria.'
Gide, Le Breton Notaires, Workman Turnbull, Racine and Nexity acted for InfraRed.
InfraRed Capital Partners is a global investment manager focused on infrastructure and real estate. It operates worldwide from offices in Sydney, London, Hong Kong, New York, Seoul and Mexico City. With around 170 professionals, it manages $12 bn of equity capital in multiple private and listed funds, primarily for institutional investors across the globe.