Swedish property company Sagax has acquired a 43% stake in a French property portfolio through a SEK 1.58 bn (€137.6 mln) investment.
The portfolio, comprising 43 properties totaling 285,000 m2 of lettable space and 902,000 m2 of land, is fully leased to Metro AG which uses the premises for wholesale operations in the HoReCa segment. The average remaining lease term is 10 years.
The acquisition brings Sagax's total ownership in the property-holding company to 70%, with the remaining 30% held by a European insurance firm.
The properties are strategically located in the Paris, Lyon, Lille, and Marseille regions and generate annual rental income of approximately SEK 270 mln (€23.2 mln), indexed to the French ILC standard.
The tenant is responsible for all operating and maintenance costs except for the long-term maintenance of the properties.
In May, Sagax announced it had acquired a 27% stake in the French property portfolio from Amundi Real Estate. At the time, it said that the portfolio had an externally estimated market value of the equivalent of SEK 3.45 bn (€296.8 mln).
