French REIT Terreis has acquired a 2,600 m2 office property in the 8th arrondissement of Paris from Dutch privately-held group Redevco for over EUR 17 mln.

The property, which is currently vacant, is a corner building in the city's central business district and is to be fully renovated. 'The Rue d’Anjou property sits in a prime area of Paris surrounded by luxury hotels and shops including the Galeries Lafayette,' said Boris Cappelle, director in the investment team at Savills, which advised on the deal.

He added: 'This sale reflects the current high demand for prime stock in Paris where domestic investors are still the main players.'

This is the second value-added acquisition by Terreis in Paris this year following the purchase of a vacant building at 14 et 16 rue Volney in the 2nd arrondissement.

Terreis, which owns assets of EUR 930 mln in France, has carried out EUR 275 mln of acquisitions since the start of the year, representing an average yield of 6.77%. Most of the acquired assets (EUR 194 mln) are located in the French capital.