Resolution buys McArthurGlen's Troyes outlet from HGI

Resolution Property has acquired McArthurGlen Troyes from Henderson Global Investor’s European Outlet Mall Fund for EUR 85.5 mln. The purchase, made on behalf of the Resolution Real Estate Fund III L.P, is Resolution Property’s first in France. German bank Helaba provided the finance for the deal.

McArthurGlen Troyes is the leading designer outlet in central France located approximately 90 minutes from Paris. Spanning 30,000 m² of retail space and comprising 118 units, it offers brands such as Burberry. Calvin Klein, Eden Park, Escada, Geox, Guess, Kenzo, Lacoste, Lancel, Mango, Petit Bateau, Polo Ralph Lauren, Swarovski and Timberland among many others.

Commenting on the acquisition, Peter Todd, Director at Resolution Property said: 'This is a significant purchase for us, being our first in France - a location which we’ve been interested in for some time and where we continue to seek opportunities. As part of our Resolution III fund we have a spending capacity of approximately EUR 1.5 bn to invest across Europe, including the UK.'

David Williams, Fund Manager for Henderson’s European Outlet Mall Fund added: 'Henderson and McArthurGlen working in partnership have made Troyes one of the best outlets in France. Our intention now is to recycle the capital raised from the sale of Troyes back into our fund in order to help finance other exciting value-creating opportunities which we are currently exploring.'

McArthurGlen and Henderson are co-investors in the European Outlet Mall Fund, and McArthurGlen will continue to be a co-investor in McArthurGlen Troyes. McArthurGlen will retain responsibility for managing and leasing the outlet village, working in partnership with Resolution Property. In addition, Henderson’s European Outlet Mall Fund and McArthurGlen will continue their close partnership, with McArthurGlen developing and managing all assets in the Fund’s EUR 1.4bn portfolio.

Troyes was opened by McArthurGlen in 1995 and bought by Henderson’s European Outlet Mall Fund in 2004. The centre was the first designer outlet village developed by McArthurGlen in Continental Europe and has since successfully added three additional phases. With the potential to expand McArthurGlen Troyes further still, Resolution Property will be assessing the benefits of future development.

Jones Lang LaSalle acted on behalf of Resolution Property whilst Henderson Global Investor’s were represented by Cushman & Wakefield. Cushman & Wakefield Financial Services acted for Resolution Property during discussions with Helaba Bank. Helaba Bank acted as Arranger, Sole Lender and Swap Provider through it origination unit in Paris and has been advised by Godet Gaillard Solle Maraux & Associés and Allez & Associés.