French commercial property developer Générale Continentale Investissements and asset manager Eternam acquired an office building in Paris for €58.3 mln from French real estate company Société Foncière Lyonnaise (SFL).
6 Hanovre is a historic Paris building, dating back to 1908 and located on rue de Hanovre close to the Opéra in the French capital's 2nd arrondissement.
The listed nine-storey building offers 3,000 m2 of office space and 1,600 m2 of basement space.
Following the departure of Pretty Simple in October 2022, SFL began renovating the Art Deco façade and this work will be continued by the buyers, who plan to redevelop the building.
SFL said: ‘This sale is in line with SFL's targeted and opportunistic strategy, which focuses on investing in very large office complexes in Paris and disposing of smaller, non-strategic assets. The transaction is accretive, as the building is untenanted, and reinforces SFL's asset values, because the transaction price is consistent with the property's most recent appraisal value.’
Raphael Raingold, managing partner of GCI added: ‘This acquisition is aligned with our strategic focus on building a portfolio of exceptional assets particularly well served by public transport, which need to be redesigned in accordance with the latest market standards. With our experience and success in the Opéra district, we are confident that this asset will attract blue-chip tenants. We are delighted to start a new partnership with Eternam, a leading real estate company that shares our vision.’
Jonathan Donio, COO of Eternam added: ‘This transaction is an excellent opportunity for Eternam to strengthen its exposure in the CBD. With its prime location, history and architecture, the building has all the qualities required to be a success. We are pleased to be able to bring this property back to life with GCI, an internationally renowned player in the Paris office property sector.’
The buyers were advised by C&C Notaires, Archers, Fairway, BCLP, Europtima, HSF and GALM, while SFL was advised by Anne-Hélène Garnier (Oudot).
The transaction was carried out by CBRE under a joint exclusive mandate with JLL.
Financing was provided by Aareal, which was advised by Allez and Archers.
