Foncière Atland, AG Real Estate and CETIM have created OPCI Transimmo, a leveraged REIT to invest in public transportation real estate.
Through capital contribution or disposal, Transimmo has acquired 42 bus depots which Foncière Atland held either directly or through co-investment financial engineering. The assets are located in France and have long-term tenancy agreements (9-year and 12-year leases) with Keolis and VeoliaTransdev, the two leading market players.
'We are pleased to be part of this partnership with AG Real Estate and CETIM and of our brainchild, the newly created REIT Transimmo. We believe very strongly in the future growth prospects for public transportation in Europe,' commented Georges Rocchietta, CEO of Foncière Atland. 'Since 2007, Foncière Atland has acquired significant experience in this sector through our involvement with Keolis and VeoliaTransdev in managing their operating sites. With AG Real Estate by our side, we are now in a position to provide market players with the backing they need to expand their inventory of buildings in Europe.'
The newly created REIT will be managed by investment holding company Voisin, a subsidiary of Foncière Atland, while Foncière Atland REIM will be responsible for the asset management. The vehicle currently holds assets valued at €100 mln.
The portfolio also includes three properties in Belgium that have long-term tenancy agreements with private bus company Hansea, a former subsidiary of Veolia and subcontractor for De Lijn, the Flemish public transportation authority.
'Innovative asset class
We are delighted to be joining forces with Foncière Atland and CETIM, and to be focusing on this innovative asset class with interesting growth opportunities and attractive locations on the edge of the city. Our objective is to further develop this portfolio by capitalising on our combined expertise and the potential of this market in Europe,' said Brigitte Gouder de Beauregard, general manager, AG Real Estate France.
Hugues Ciselet, director and partner of CETIM added: 'With its unique position and European focus, this specialised investment fund represents a long-term investment growth opportunity for its partners. We are truly honoured to be part of this partnership.'
Foncière Atland and CETIM were jointly responsible for the structuring and negotiation of the deal.
Financing was provided by a bank consortium led by Crédit Foncier de France joined by BNP Paribas and BPI France.
The parties were advised by law firms Gide and Kramer Levin as well as civil law notaries Cheuvreux and Attal.
The bank consortium was advised by law firm Lefèvre Pelletier and civil law notaries Michelez and Thibierge.
