A fund managed by TwentyTwo Real Estate has teamed up with investment firm Azora Capital to acquire senior independent living business of Emeis in France in a deal worth up to €200m.
TwentyTwo Real Estate Fund III and Azora have agreed to acquire the portfolio comprising 17 properties and 1,850 apartments located in major French cities, including Paris, Marseille, Bordeaux, Amiens and Reims.
The transaction is valued at €159m, plus a potential €41.5m earn-out in 2029, which is dependent on certain targets being met.
The deal marks Azora’s entry into the French market, lifting its senior living assets under management to €800m, with 53 assets and a total of 5,000 beds and 3,000 independent living apartments.
France is now the 12th country in Azora’s investment and management track record, which features a presence in countries like the US, Italy, Germany, Ireland, Greece and Portugal.
Javier Rodríguez-Heredia, managing partner of Azora, said: “This investment reinforces our commitment to meeting the growing social infrastructure needs – in this case, within the senior living segment driven by Europe’s aging population – through the development of high-quality real estate.
“At the same time, it opens up new investment opportunities in France, a country which, with 69m inhabitants, is the third largest market in Europe by GDP and also the third largest for institutional real estate investment.”
Carlos Fernández de Araoz, partner and co-head of senior living at Azora, said: “The acquisition of this portfolio represents another important milestone in Azora’s international expansion, extending its activities to one of the most significant markets in Europe.”
Emeis said it is selling its senior independent living business as part of its strategy to refocus and reduce its debt.
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