Barings Real Estate, the property investment group backed by US insurer MassMutual, has acquired its third logistics warehouse portfolio in France as part of the firm’s European core-plus strategy, increasing its French assets under management to around €200m.
The 90,000 sq.m. “Paco Portfolio” is located in the towns of Savigny le Temple and Réau to the south of Paris, on the axis that connects the capital to Lyon and Marseille, said Barings in a statement. The deal includes a fully-let 22,512 sq.m. property, which was built in 2004 and has scope for a 10,200 sq.m. extension. The second property covers 67,000 sq.m. and includes 42,000 sq.m. which is pre-let to a French logistics firm, as well as about 25,000 sq.m. completed in late October and which is still going through the letting process. The purchase price was not disclosed but Barings said the deal was financed by La Banque Postale.
“This is Barings’ third logistics acquisition in France this year, bringing our total French logistics portfolio to approximately 160,000 sq.m.,” said Séverne Maumy-Laffineur, Barings MD and real estate country head for France. “Given our global footprint and expertise across sectors, we are confident in our ability to complete the lease-up of the Réau property and we look forward to growing our portfolio in France with additional investments in the core to value-add profile.”
Barings, which has €37bn of real estate assets globally, now owns a total of seven property assets in France, acquired for a total of about €200m. In May 2018, Barings forward funded a 23,000 sq.m. logistics warehouse in Northern France from the French real estate group Nexity Immobilier d’Enterprise. pie