UBS Asset Management’s Italian real estate arm has acquired a €250m luxury retail real estate portfolio in France’s capital on behalf of a fund.
The manager said it bought the three-asset high street portfolio in Paris on behalf of the UBS Diamond Eurozone Offices (UBS-DEO) fund, which targets core and core-plus investment opportunities in prime locations within top eurozone cities.
The pan-European UBS-DEO fund is managed by UBS on behalf of Poste Vita, the Italian insurance company.
The three assets are located at numbers 12, 14 and 48 of Avenue Montaigne in the eighth arrondissement of Paris.
UBS said each of the portfolio’s three properties are leased to international high-fashion retailers, benefitting from strong covenants and long-term agreements.
Marco Doglio, head of real Estate Italy at UBS-AM Real Estate & Private Markets, said: “This unique portfolio comprises three exceptional and well-let assets in one of the world’s most sought-after ultra-prime shopping destinations.
“Paris continues to attract record tourist numbers, while strong demand continues from the best brands for this esteemed location. These factors align perfectly with the fund’s goal of generating strong and stable returns over the long-term.”