The acquisition of the Cap 3000 shopping centre in Nice by a three-way consortium including ABP is the latest example of the Dutch pension fund's strategy to co-invest alongside companies in which it holds a substantial interest. The Cap 3000 purchase was the first alongside Altarea, in which ABP holds an 8% interest.
The acquisition of the Cap 3000 shopping centre in Nice by a three-way consortium including ABP is the latest example of the Dutch pension fund's strategy to co-invest alongside companies in which it holds a substantial interest. The Cap 3000 purchase was the first alongside Altarea, in which ABP holds an 8% interest.
Life insurer Predica, the other financial partner in the deal, also controls a major stake in Altarea, at 12%. Predica is a subsidiary of Credit Agricole.
'We always invest indirectly in real estate,' Robert-Jan Foortse, head of European non-listed property investments at the asset management unit of ABP, told PropertyEU. 'The closest we will come to direct investments is a joint venture or a partnership like in this purchase. But in any case we need to team up with an operational partner who takes care of the day-to-day management of the assets. In general, we like the long-term risk-return characteristics of investments in the retail sector.'
Earlier this year, ABP also backed Corio's acquisition of EUR 1.3 bn worth of Multi assets by subscribing to a EUR 600 mln share offering in its role as major shareholder of the Dutch listed fund. The buying spree is part of ABP's strategy to increase its allocation to property from 8% to 9% over the next three years.
Foortse: 'We are still cautious about real estate prospects, especially in view of the ongoing waves of investor panic, but we do think there are some opportunities in the European market which offer attractive value.'
The full story appears in the June edition of PropertyEU Magazine. Click on the link below to subscribe