French pension fund ERAFP has made its first real estate acquisition with LaSalle Investment Management.
LaSalle said it bought a retail asset in the UK from Green Property for £14.9m (€20.2m).
The asset, in Birmingham’s New Street, is let to Tesco and Evans Cycles.
LaSalle said the deal was done at a net 6.6% initial yield.
Beverley Shadbolt, fund manager, said it would invest in high-quality core assets across Europe for ERAFP, L’Etablissement de Retraite Additionnelle de La Fonction Publique – France’s public sector pension fund.
“New Street is set to benefit from its proximity to the city-centre regeneration project including the refurbishment of New Street Station and the opening of Grand Central later in 2015,” Shadbolt said.
The fund made the decision to invest abroad in 2013.