French property group Gecina has agreed to sell the 101 Champs-Elysées office building in Paris CBD district’s Triangle d’Or, bringing sales to almost €1billion since the start of the year.
Since the start of the year, Gecina has completed or secured sales representing around 42,000 square metres of offices and residential assets.
In the first and second quarters of the year, the Group completed or secured the sale of three office buildings in Paris’ Central Business District (129 Malesherbes, 142 Haussmann, and 43 Friedland), representing around 5,000 square meters as well as an office building in Cergy Pontoise (10,000 square meters) and the Abreuvoir residential building in Courbevoie (16,600 square meters).
The 101 Champs-Elysées building has around 10,000 square meters of space, including 40% retail, with the rest mainly comprising offices. It is currently occupied by Louis Vuitton Malletier.
All the sales secured this year have achieved a premium versus the latest appraisal values, with an average premium of over 10% and an average rate for the loss of rental income of 2.5%.
Gecina Chief Executive Officer, Beñat Ortega, says, “These transactions reflect Gecina’s strategic commitment to continuing to optimize its capital allocation in order to further consolidate the solidity of its financial structure and secure financing for a pipeline located primarily in Paris and Neuilly, driving value creation and growth, while opening up opportunistic financial headroom in the current and future real estate markets.”
