Sogécap, the investment arm of France's Société Générale Insurance, is acquiring a 50% interest in the Crystal Park office building in Luxembourg.
The half share in the building's holding company is being sold by the real estate arm of Belgian insurance group AG. The price has not been disclosed. The actual disposal of shares will take place in January 2017.
Completed in 2014, the Crystal Park building was the first development to sprout up in the Ban de Gasperich neighborhood of Luxembourg, and was the result of a partnership between AG Real Estate and group Becca (Olos Fund). The building was designed to serve as the new Belgian corporate headquarters for global accounting firm PwC.
The building features 30,000 m2 of office and multipurpose space, 1,500 m2 of record storage, a company restaurant, an auditorium and 413 parking spaces. A 12-year fixed-term lease has been signed for the entire property.
AG Real Estate said the sale of the 50% stake reflected its desire to strengthen its partnership with Sogécap. All asset management and fund management services will continue to be provided by AG Real Estate. 'After the launch of the building in 2010, we clearly have a winner on our hands. The Luxembourg market has responded favourably to the investments we've made, and we are delighted to have a heavy hitter like Sogécap by our side,' said Amaury de Crombrugghe, chief investment officer for the office & warehouse portfolio at AG Real Estate.
Law firm Dentons Luxembourg acted as sell-side advisors to AG Real Estate, while Sogécap was advised by Savills, SG Real Estate Advisory, Linklaters and Treex.
About AG Real Estate
AG Real Estate has almost €6 bn of assets, both for itself and for external investors, under management.
