Hammerson has completed the €81 mln acquisition of a 11,000 m2 shopping centre that adjoins one of the UK REIT's flagship schemes in Paris.
Hammerson acquired the Cergy 3 shopping centre from a private investor.
Cergy 3 adjoins Hammerson's Les Trois Fontaines in Cergy Pontoise, an agglomeration northwest of Paris.
The acquired retail centre is anchored by FNAC and has 46 units let to retailers and restaurants, including Grande Récré and Foot Locker. Cergy 3 produces €3.2 million of rental income.
Hammerson is progressing with plans for a 33,000m2 extension of Les Trois Fontaines, alongside a wider project by the city authorities in Cergy Pontoise. The proposed extension would take the total retail space to over 95,000 m2 with 3,700 car park spaces, 230 stores and restaurant and leisure space.
Hammerson's CEO David Atkins, said: 'The purchase of Cergy 3 strengthens our retail presence in the affluent Western catchment of Paris adding to the scale of Les Trois Fontaines, which trades amongst the top French shopping centres.'
'It allows us to manage all leasing and ensure a consistent quality across the whole centre. The future development of Les Trois Fontaines provides the opportunity to further enhance one of Hammerson’s flagship retail schemes in France adding new international fashion operators and increased dining and leisure,' Atkins said.
The investment transaction resembles the agreement announced last week by Johannesburg-listed company Nepi-Rockcastle to acquire to adjoining shopping centres in the Polish city of Kraków for a total of €461 mln. The two centres, Serenada (41,170 m2) and Krokus (27,728 m2) are being combined by the vendor Mayland Real Estate to create a single 100,000 m2 scheme.
