Area Property Partners’ Apollo European Real Estate Fund III has signed an agreement to purchase the Le Skalen office development in Chatillon from Bouwfonds Marignan Immobilier through a forward purchase agreement (VEFA).

Le Skalen is situated close to Chatillon-Montrouge metro station on Rue Pierre Semard and when completed, will comprise approximately 23,400m2 of offices and archives. Work will begin this year with anticipated completion in 2013. Finance is being supplied jointly by HSBC France and Natixis.

Bill Benjamin, Managing Partner of Area Property Partners in Europe commented: 'This is a significant acquisition with a quality partner and with a banking community supporting a compelling development proposal. These are all ingredients we value highly.'

Bruno Kunvari, Director of Bouwfonds Marignan Immobilier said: 'We are delighted with the confidence Area has shown by working with us on their first VEFA acquisition in the Paris region. It will be both HQE and BBC labelled and Le Skalen will underpin Bouwfonds Marignan Immobilier’s position as one of the leading office developers in Ile de France.'

Alban Liss, President of Area Property Partners France added: 'This will be our first acquisition in France since the creation of Area Property Partners France. It is a very high-quality office complex, which fills an increasing gap in a market facing an ever-declining supply. There has not been, to my knowledge, bank financing for a building development of this size for quite some time and this is very positive for the market and a strong indication of their confidence in our team. Particular attention has been paid to the environmental quality of the building and is proof of our commitment to 'environmental issues in Europe. We are delighted to be working with Bouwfonds Marignan Immobilier with whom we have a tremendous relationship.'

Bouwfonds Marignan Immobilier was advised by the Office notarial Monassier, whilst Area Property Partners France was assisted by Allez et Associés (notary), Emmanuel Cazin (Fairway) and Hogan Lovells (financing and tax), as well as Artequation and Aliuta. The financing banks are advised by the Cabinet De Pardieu Brocas Maffei and the Etude Wargny Katz.