Valesco Group has acquired the global headquarters of hospitality group Accor in France’s capital for €460m, a transaction that represents the largest Continental European office deal this year.
The European real estate investment manager said it has completed the acquisition of the 26-storey Sequana Tower in Paris in a sale and leaseback deal with Accor.
The acquisition of the 43,027sqm tower is the first acquisition Valesco has made for its new fully discretionary fund, which had a recent first close anchored by sovereign capital, the manager said. It is also the largest office deal in France since 2021.
The property, let to Accor on a 12-year lease, generates €22m of contracted rent per annum, Valesco said.
Foucault de La Rochere, chief efficiency officer of Accor, said: “This sale reflects both our ability to execute strategic initiatives on behalf of shareholders and the quality of our signature. Accor is proud to occupy the iconic Sequana Tower and we are confident that we will continue to build on our very strong partnership with Valesco in the coming years.”
Shiraz Jiwa, founder and CEO of Valesco, said: “Sequana Tower represents the latest addition to our growing portfolio of mission-critical, futureproof landmark assets. In Accor, with whom we have a very strong working relationship, we have added a global hospitality behemoth with a highly differentiated offering led by exceptional management, to our tenant roster.
”The collective market cap of our occupiers now exceeds €4 trillion. Our deep experience of executing during complex times against a backdrop of macro uncertainty, combined with our conviction on the real estate fundamentals underpinning this Parisian HQ tower, has enabled us to close this year’s largest continental European office deal and France’s largest since 2021.”
London headquartered Valesco is backed by sovereign and institutional capital from Asia as well as some capital from the Middle East, Europe and North America.
To read the latest edition of the latest IPE Real Assets magazine click here.
