LeadCrest Capital Partners has agreed a €70 mln sale-and-leaseback deal with French food retailer Casino for a portfolio of seven supermarkets in France.
Totalling 33,500 m2, the portfolio is triple-net leased to Monoprix Exploitation and Distribution Casino France, two wholly owned subsidiaries of food retailing giant Casino.
The transaction consists of two phases, with the first covering the acquisition of six standing assets, and the second involving the forward purchase of a seventh asset under development, for which practical completion is expected in early Q4 2021.
LeadCrest said the acquired assets are located mainly in Paris, Greater Paris and southern France, in urban infill areas with strong socioeconomic profiles and set to experience above-average population growth.
Georges Asmar, portfolio manager at LeadCrest Capital Partners, said: 'The newly formed partnership with the Casino Group is perfectly aligned with our company’s strategy to offer an alternative financing solution to companies who seek growth via innovation in a resilient market.
'We value this transaction as a case study for the European retail industry that qualifies sale-leaseback today as an effective post-Covid financing alternative for our partners. The food retail sector has proven to be one strategic pillar for LeadCrest, and we are delighted to see our expertise recognised by key player of the segment such as Casino.'
LeadCrest Capital Partners was advised by firms Cheuvreux and Reed Smith on the legal matters, and by Cushman & Wakefield on the commercial aspects of this transaction.
LeadCrest Capital Partners describes itself as 'the first European fund 100% dedicated to sale-leaseback and build-to-suit operations'. With offices in Luxembourg, Paris, and London, the firm focuses on providing bespoke non-bank capital solutions to its corporate partners in Europe by monetising their real estate assets.