19 December 2019
Grosvenor Europe continues its French growth strategy with a second acquisition
Grosvenor acquires an office building in the north east of Paris
Grosvenor Europe has consolidated its French investment strategy with the acquisition of our second office building in the Paris region.
The high potential investment in Pantin, north east Paris, is a 3,3000 sq m mixed-use building spread over four floors. It is located on Lesault Street, a well-connected location near a Metro station, just 11 minutes from Gare du Nord. Pantin is currently benefiting from the upgrade of a cross rail suburban line and will also benefit from a new Metro line scheduled to launch in 2030.
A booming neighbourhood
The building is located in an area with strong industrial heritage and a large part of the old housing stock is currently being redeveloped. The luxury goods manufacturer Hermès established a headquarters in Pantin in 1992 and now occupies several buildings (across 40,000 m2). A major urban regeneration plan was completed in 2009, with the redevelopment of the Moulins de Pantin and the arrival of BNP Paribas Securities (50,000 m2, 3,000 employees). More recently, Chanel established its research and development facilities (30,000 m2) there. The local residential market (where prices have increased by 7.6% on average over the last 12 months) is also benefiting from the general improvement of the Parisian residential market, as well as the attraction of new waterfront developments on the Ourcq Canal.
Steve Cowen, Director of Investment and Development at Grosvenor Europe, said: "This acquisition confirms our continued interest in the competitive Paris market. There remain many opportunities in burgeoning neighbourhoods such as Pantin, as there is a significant demand for high quality offices, yet currently, few assets meet the desired standards of tenants. ”
Alban Hallé, Director France, Grosvenor Europe, commented: "The asset already benefits from a new façade but we plan to implement energy performance improvements, to ensure greater tenant comfort as well as lasting appeal. These sustainability improvements form part of our comprehensive approach to delivering lasting environmental benefits across our portfolio.”
About Grosvenor Europe
Grosvenor Europe invests in, develops and manages real estate assets in vibrant European cities including Paris, Stockholm and Madrid. As a part of Grosvenor Group, with a track record of over 340 years, our activities are designed to improve properties and places that will deliver lasting commercial and social benefit in the places we are active.
Our approach to delivering social benefit identifies five priority areas where we believe we can have the most measurable impact on social and environmental sustainability and in 2020 we launched our net zero carbon strategy, committing us to halving our total carbon impact by 2030. This target was approved by the Science Based Targets Initiative and verified in line with the most ambitious trajectory of the Paris Agreement, to limit global warming by 1.5oC.
As at 31 December 2020, we managed £1.7bn AUM, including a several residential development projects, a growing office portfolio in Madrid and Paris, and retail-led assets in Stockholm.
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