French property investor Terreis has announced the EUR 61.5 mln acquisition of three office buildings at Rue Marbeuf, in Paris' eighth arrondissement. The deals, closed last month, represent a net initial yield of 7.5%. Terreis said that the acquisitions are 'in line with its active acquisition policy' launched at the beginning of 2009.
French property investor Terreis has announced the EUR 61.5 mln acquisition of three office buildings at Rue Marbeuf, in Paris' eighth arrondissement. The deals, closed last month, represent a net initial yield of 7.5%. Terreis said that the acquisitions are 'in line with its active acquisition policy' launched at the beginning of 2009.
Earlier this year, the Paris-based investor already acquired 21 properties with a value of EUR 30 mln. In a statement last week, the company said that rental income increased by 41.3% year-on-year during the first nine months of 2009, largely driven by acquisitions. On a like-for-like basis, rental income rose by 8.1% during the first three quarters of 2009.
In addition, the company has recently signed two agreements to invest a total of EUR 16 mln in two assets in Biarritz and Paris. The French investor is also currently looking at six office properties in Paris' central business district, representing a total investment of EUR 22 mln. The purchases should be completed before the end of 2009, it said. The company expects to realise an average yield of 8%.
Looking forward, the company is envisaging fewer high-quality opportunities available in the central business district of the French capital, due to 'progressive softening of the credit market and the comeback of financial investors'.
