Swedish property company Sagax is investing €79 mln in the sale-and-leaseback of 47 warehouses in western France.
The investment is being made with a world leader in construction and maintenance of transport infrastructures.
The properties have a total lettable area of 69,000 m2 and 1,460,000 m2 of freehold land and consist of light industrial premises with associated offices, parking, and outdoor storage.
The warehouses are located in cities such as Bordeaux, Toulouse, and Rennes.
The tenant is responsible for all operating costs in addition to the rent, while Sagax is responsible for the long-term maintenance of the properties.
Sagax's investment will be financed through a long-term lease agreement with the seller. The lease term is 11.7 years, with the option to extend by up to 30 years. The rental income is SEK 70 mln (€6 mln) per year, and is fully indexed to ILAT, a standard index for commercial leases in France.
The acquisition is expected to close in the fourth quarter of 2023, after obtaining the necessary approvals.
Sagax has also agreed to a potential additional investment of SEK 485 mln (€41 mln) in France, on similar terms and conditions, to be announced separately.
