Henderson's Herald beefs up European portfolio

Henderson Global Investors' EUR 1bn Herald retail property fund has acquired the Galerie des Ailes shopping centre in Le Blanc Mesnil, a suburb of Paris in France, as well as a Real hypermarket and gallery in Dreieich, Germany. The two transactions equate to around EUR 100 mln.

In France, the 11,000-m² shopping centre was acquired from joint vendors Immobiliere Frey and LeClerc, in a transaction which involved a forward commitment for the further development of the centre which opened in early October this year.

The centre, which was 90% let at opening, includes leading tenants, Sport Direct, Espace Culturel and La Grand Recre and is anchored by an 8,000-m² owner-occupied LeClerc.

In Germany, the 23,000-m² retail warehouse was acquired by Herald as a forward commitment with the vendor responsible for a EUR 16 mln complete refurbishment of the centre. The centre, which is fully let, is anchored by Real and Decathlon.

'The purchase in Le Blanc Mesnil represents an excellent investment in the current market where the supply of prime shopping centres in France is extremely tight,' said David Turner, fund manager for Herald. 'The fund's ability to undertake forward commitments allows us to consider a much wider range of investment opportunities which is extremely beneficial in a market with such a tight supply of good quality stock.'

Henderson was advised by Jones Lang LaSalle in France and WilmerHale in Germany.