French fund manager Paref Gestion has bolstered its German real estate portfolio with the acquisition of two retail complexes on behalf of Paref's SCPI Novapierre Allemagne 2.
The Nordberg Center in Bergkamen near Dortmund was renovated in 2022-2023 and offers a leasable area of around 5,000 m2. The retail park is fully let to eight tenants, including supermarket chains Lidl and Netto and the Rossmann drugstore. The average remaining lease term is 7.4 years. Very well integrated into its environment, it is easily accessible by car.
The Tannenbusch Center shopping centre is located 7 km from the centre of Bonn. Renovated in 2017, it has a leasable area of around 13,500 m2 and houses chains such as hypermarket Kaufland and discount store Action. The average remaining lease term is 7.7 years. The asset is in the heart of a dense residential area in a rapidly developing district and is easily accessible by public transport and by car.
The Nordberg Center and the Tannenbusch Center align with Paref's focus on core retail properties, characterized by their stability, high occupancy rates, and long lease terms.
Olivier Eglem, director of the funds & investments department of Paref Gestion, said: ‘We are delighted with these new acquisitions for our Novapierre Germany 2 fund and our partners. They allow us to diversify our portfolio and strengthen our presence in the state of North Rhine-Westphalia, one of the most dynamic economic regions in Europe. In addition, the acquisition of this retail park and this shopping center meets the fundamentals of our SCPI, namely so-called 'essential' retail assets, which is a class that has demonstrated its robustness, occupancy rates, and high residual average leases.’
The Novapierre Allemagne 2 SCPI fund, established in 2019, focuses on acquiring specialized retail properties and small shopping centres in Germany, typically anchored by a grocery store. With the recent addition, its portfolio now encompasses 21 assets.
