AXA Investment Managers - Real Assets (AXA IMRA) has confirmed the completion of the joint venture acqusition of Área Sur shopping centre in Jerez, Southern Spain. 

axa investment managers real assets axa imra has confirmed the completion of the joint venture acqus

Axa Investment Managers Real Assets Axa Imra has Confirmed the Completion of the Joint Venture Acqus

The vendor was German fund manager Union Investment Real Estate.

AXA IMRA did not comment on the financial details.

The deal was first reported in March.  At the time Spanish business publication Expansión put the investment volume at around €110 mln.

Área Sur is a 47,000 m2 shopping centre  spread across one ground and two upper floors. The space is 90% let to 86 tenants, representing a range of retail and leisure outlets. There are also 2,344 parking spots.

AXA IMRA was acting on behalf of the AXA CoRE Europe Fund, in an 85/15 joint venture with Sonae Sierra.  

This is the first joint venture between Paris-based AXA IMRA and Sonae Sierra, an international shopping centre specialist headquartered in the Portuguese capital Lisbon. 'We look forward to the opportunity to partner in the future on projects across Europe,' said Nathalie Charles, regional head of asset management & transactions for Southern Europe at AXA IMRA. 

The new owners' strategy for Área Sur is to maintain the occupancy level, whilst undertaking a number of value enhancing asset management initiatives. Sonae Sierra will manage the centre. 

Pedro Caupers, chief investment officer at Sonae Sierra, said, 'We will devote our experience and know-how accumulated over more than 25 years with the aim of improving the performance of the asset and finding value creation opportunities at Área Sur, converting it into one of the shopping centres of reference in the south of Spain.

'At Sonae Sierra we are permanently searching for new and innovative asset management initiatives, with the aim of achieving a superior return on investment for our investment partners. Likewise, we are very satisfied to undertake this project together with AXA IM – Real Assets, following our model of co-investing with other partners, assuming responsibility for management to achieve the objectives set by both parties.'

AXA CoRE Europe Fund is AXA IMRA's flagship pan-European open-ended real estate fund. Its  portfolio already comprises an interest in Tour First in Paris La Défense, the Asticus and Warwick Buildings in London, and an interest in an office asset in Milan. The fund exceeded €800 mln of total commitments by the end-March 2017.