Union Investment acquires property in Paris for institutional retail fund
Union Investment has concluded its first foreign investment for the new UII Shopping Nr. 1 retail property fund. Built in 1992 in the established service and office location of Issy-les-Moulineaux, the Issy Trois Moulins shopping centre comprises a 7,312 sq m gallery with 43 shop units. The vendor, Corio France, will continue to be responsible for property management of the centre. “Issy Trois Moulins is an established shopping centre with healthy returns and a balanced tenant mix, making it an excellent fit for our new thematic fund,” said Dr. Christoph Schumacher, a member of the management team at Union Investment Institutional Property GmbH, Hamburg. Elsewhere in France, Union Investment has retail investments in Limoges (Saint Martial) and Bordeaux (Centre Commercial Géant).
Issy Trois Moulins shopping centre has a good catchment area of around 188,000 people and benefits from the strong appeal of the 8,000 sq m Auchan hypermarket (which is not part of the transaction). With approximately 867 spaces in its multi-storey car park, the shopping centre’s offerings are rounded off by well-known tenants such as H&M, Etam, Marionnaud, McDonald’s and Morgan.
The shopping centre is the third investment for UII Shopping Nr. 1, which has a current fund size of around EUR 400 million. Real estate fund UII Shopping Nr. 1 allows institutional investors to benefit from the performance of European retail properties and achieve greater diversification of their property portfolio. The fund’s investment universe comprises the key eurozone countries of Germany, France, Belgium, Italy, the Netherlands and Austria. Properties in Poland and the Czech Republic may also be added to the mix.
Source : Company