CDC IXIS was acting on behalf of a pool of investors including Caisse des depots, CNP Assurance and Ecureuil Vie. In addition, HVB and CDC IXIS have arranged mortgage funding for the purchase.
Roughly 34% of the portfolio is in central Paris and 35% in its suburbs, with the remainder in France's main provincial cities. The majority of the properties will now be leased back to France Telecom at standard market rates. A new asset management company, jointly owned by the consortium and France Telecom, will be set up to manage the properties.
The sale and leaseback is the latest in a series of moves by major European corporations to unlock the value of their property portfolios and make more efficient use of their capital. But there is potential for many more such deals. GE Capital estimates that 60% to 70% of European corporations own the property they occupy, against just 20% to 30% in the USA.
Jean de Pourtales, Managing Director, Goldman Sachs International, said : 'This is one of several transactions in Europe in which we have maximized property values and reduced management costs for owner occupiers who have sold us their assets.'
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
