Aberdeen Property Investors has announced the establishment of a new fund focusing on France and Southern Europe, in line with its strategy to become a leading fund and asset manager in the French market. The fund's first investment is the acquisition of CB 16, a landmark office building in la Défense in Paris. Aberdeen has bought the asset from GE Real Estate France for EUR 200 mln. The building is fully let to Alcan and Unilog on a 9-year lease agreement. The total area of the building is some 28,000 m2, including three restaurants and 151 parking spaces. L'Etoile Properties acted as advisor to Aberdeen in this acquisition.

Aberdeen Property Investors has announced the establishment of a new fund focusing on France and Southern Europe, in line with its strategy to become a leading fund and asset manager in the French market. The fund's first investment is the acquisition of CB 16, a landmark office building in la Défense in Paris. Aberdeen has bought the asset from GE Real Estate France for EUR 200 mln. The building is fully let to Alcan and Unilog on a 9-year lease agreement. The total area of the building is some 28,000 m2, including three restaurants and 151 parking spaces. L'Etoile Properties acted as advisor to Aberdeen in this acquisition.

Jacques-Yves Nicol, international director and head of Aberdeen Property Investors Southern Europe, said: 'This is a landmark property in a prime business district, which is enjoying good rental growth and a low vacancy rate of 5%. This acquisition reflects the success of our strategic partnership with L’Etoile Properties in the French market, which not only allows us to offer active local management of the fund's assets but also provides valuable support in the sourcing of products.'

Aberdeen Property Fund France and Southern Europe is a closed-ended, diversified fund with a core to value-added profile. It will be diversified both in terms of sectors and geography, covering France, Spain, Portugal and Italy, with an initial special focus on France. The target equity is EUR 500 mln, which given its target level of leverage of 50-60% loan to value, will give an investment capacity of EUR 1 bn to EUR 1.3 bn.

Ubbe Strihagen, international director at Aberdeen Property Investors added: 'We now have 11 funds open for investments in Europe and Asia, ranging from national and regional funds to fund of fund products. This is, however, our first product that focuses purely on Southern Europe.' The fund is expected to have its first closing during the third quarter of this year.