Pramerica Real Estate Investors has formed a joint venture with Belgian-French property redeveloper Banimmo to develop and refurbish retail properties in France. Pramerica will initially contribute up to EUR 40 mln, representing 66% of the EUR 60 mln of equity committed to the joint venture with the balance provided by Banimmo. Third-party gearing will form the remainder of the total investment volume of around EUR 200 mln.
Pramerica Real Estate Investors has formed a joint venture with Belgian-French property redeveloper Banimmo to develop and refurbish retail properties in France. Pramerica will initially contribute up to EUR 40 mln, representing 66% of the EUR 60 mln of equity committed to the joint venture with the balance provided by Banimmo. Third-party gearing will form the remainder of the total investment volume of around EUR 200 mln.
The venture continues Pramerica's expansion in France, where it already operates a transaction office that sources deals for the company's commingled funds. Earlier this year, Pramerica also announced a joint venture with Bleecker Group to invest in French office and industrial opportunities.
The new retail venture will be managed by Banimmo's French subsidiary, Banimmo Real Estate France. The deal also reunites Pramerica with Banimmo, which it acquired from Axa in 2000. Pramerica sold Banimmo to Macquarie Global Capital Partners in 2002 and Banimmo went on to become a listed company. Under Macquarie's ownership, Banimmo expanded into France in 2003.
Commenting on the joint venture, Philip Barrett, Pramerica's chief investment officer for Europe, said: 'The French retail market has been gaining momentum and we're delighted to renew our relationship with Banimmo.' Pramerica is a real estate investment management unit of the financial and insurance company Prudential Financial, which is headquartered in the US.
