This transaction concerns the DORIAN building, located at 172 rue de Charonne in the 11th arrondissement, and CAP19, located at 13 rue Georges Auric in the 19th arrondissement.
The DORIAN building covers approximately 13,000 m² and has 25 tenants. CAP19 covers approximately 10,500 m² and has 40 tenants. The entire portfolio thus represents nearly 23,500 m² dedicated to hosting productive and craft businesses, constituting structural real estate tools for the Parisian economic fabric.
These two assets have been owned by AG Real Estate France since 2012 under construction leases signed with the City of Paris. They are part of the historic Parisian business premises scheme, set up in the 1990s to encourage the maintenance of manufacturing and craft activities in the heart of the capital. This scheme aims to preserve economic diversity and local employment in Paris's arrondissements.
After a long period of ownership during which rigorous asset management significantly improved the occupancy rate and quality of the buildings, this sale illustrates AG Real Estate France's ability to manage a diversified portfolio of assets that generates capital gains.
"In a market environment characterised by reduced liquidity and highly selective investors, including in Paris, this transaction demonstrates our ability to create value on specific assets with a strong urban impact. Parisian business premises require particular expertise and a long-term vision, which our teams have been able to deploy with rigour and agility during the holding period. " - Thibault Delamain, Managing Director and Head of Investment & Asset Management, AG Real Estate France
The acquisition by an institutional investor already strongly positioned in this segment, is in line with its strategy of owning and managing business hotels, consistent with the City of Paris' objectives of maintaining productive activities within the city limits.
AG Real Estate France was advised by Cheuvreux, represented by Estelle Arakelian and Thomas Flattot. The transaction was carried out with the support of brokers Madelus and Imbrik, specialists in this type of asset.
Photo credit: Jean-Pierre Porcher
