French fund manager Novaxia Real Estate has bought a portfolio of four retail assets in the Paris suburbs for around €100 mln.
The four stores, dating from the 1950s and 1960s, with a total surface area of more than 20,000 m2, were acquired with six years remaining on the leases. They are let to a major French supermarket operator. Novaxia plans to increase the portfolio by 50% over the next few years with an extension and refurbishment programme.
'Thanks to our expertise in real estate transformation, we envisage, for the whole plot, an extension of the commercial areas and/or the construction of residential units via the elevation or extension of the existing buildings. The operator is assisting with obtaining planning permission,' said Mathieu Descout, Novaxia Real Estate's general manager.
'This approach contributes to the city's transformation while avoiding urban sprawl.'
The main co-investors in the transaction are Novaxia Foncier Sélect, which completed its first closing with BPCE group investors such as Socfim, Bred, and Banques populaires et Caisse d’Epargne régionales, as well Novaxia Immo Club 4.
'This transaction is emblematic of our 'core value' approach, combining 'core' and 'value add' investments,' said Novaxia president Joachim Azan.