UK-French JV buys Paris office portfolio

French private equity real estate group LBO France has joined forces with London-based Maple Knoll Capital to buy a portfolio of four office buildings on the outskirts of Paris.

The purchase, representing Maple Knoll Capital's first foray into the French property market, involves a total of 60,000 m2 of office space. Financial details were not disclosed.

Natixis provided financing to both LBO France and Maple Knoll Capital.

According to market sources, LBO France is taking control of the largest asset, a 17,000 m2 environmentally certified office building in St. Ouen let to Alstom Transports on a 12-year firm lease.

Maple Knoll will take over the three other buildings.

'This is our first deal in France and follows our recent acquisition of a 60,000 m2 office building in Munich, Germany,' said Phillip Burns, CEO of Maple Knoll Capital. 'Maple Knoll is focused on value-add and opportunistic real estate and we continue to see selective opportunities in Europe.'

Stéphanie Casciola, head of real estate at LBO France, added: 'These acquisitions illustrate our ambition to be increasingly active in the context of a recovering French market, which particularly lends itself to value added investment strategies.'

The deal is LBO's third since the start of the year. Earlier in 2014 the private equity group bought a portfolio of 24 light-industrial assets in Ile-de-France and the 10,000 m2 Le Cap office building located at La Défense.

The investment department of Catella brokered the transaction.

LBO France and Maple Knoll Capital were advised by Clifford Chance, Wragge & Co, and by Etude Monassier.

LBO France is an independent private equity fund manager with €4 bn under management.

Maple Knoll Capital is a London-based private equity investor and advisor with a primary focus on value-add and opportunistic real estate.