Transactions in France’s two most populated cities continue growth of €1 billion-plus pan-European platform

Valor Real Estate Partners (“Valor”), the leading pan-European urban logistics platform, continues to expand its [€1 billion-plus] portfolio with the acquisition of four urban logistics properties located in prime Paris and Lyon sub-markets, for a total consideration of €30 million.

Valor has acquired a 2,000 sqm industrial vacant unit in Créteil, 10km south east Paris. The asset was owned by Rolesco, a French SME specialized in refrigeration products. Créteil is one of the most attractive submarkets in Paris with a structural supply shortfall and increasing tenant demand.

In Argenteuil, Valor has recently completed the off-market purchase of a high specification 10,500 sqm warehouse located 12km from Paris from a French luxury catering company part of the Do & Co group. The warehouse currently vacant benefits from its proximity to the affluent western Paris suburbs and provides immediate access to the A86, Paris’ second inner ring road.

In a third transaction, Valor has acquired a vacant 7,000 sqm industrial warehouse in Chaponnay, 13km south east of Lyon, from the previous occupier Oxymetal. The asset is currently vacant and will be fully refurbished including new cladding, new office plot and new doors. Once repositioned, the asset will be split into two urban distribution units which will accommodate future tenants in a market suffering from a lack of available high-quality products.

Finally, Valor has just completed on the acquisition of a 3,600 sqm vacant low site density warehouse in Saint Priest, 12km south east of Lyon from the previous occupier Ciffreo Bona. The asset sits on a 18,000 sqm plot and will be entirely renovated.

These four assets have been acquired from owner occupiers during the global pandemic demonstrating Valor’s ability to offer a flexible and quick capital solution as well as a strong deal execution capacity.

Ben Brunschwig, Senior Vice President at Valor, commented:

“These transactions underline our ability to identify and acquire assets in highly granular and competitive markets, offering near term asset potential via repositioning and leasing activity. The warehouses are ideally located for last-mile delivery in critically undersupplied infill sub-markets on the edge of Paris and Lyon, with immediate access to arterial roads and in two of Western Europe’s most densely populated cities. With future development likely to be restricted by land availability, this should further underpin rents and performance moving forward.”

Valor was advised by CBRE for Créteil, Nexity Conseil et Transactions for Argenteuil, JLL for Chaponnay and Brice Robert/Malsch for Saint-Priest transactions. Oudot & associés (notaries), Simmons & Simmons (tax and structuring), Hogan Lovells (construction), AMF-QSE (TEDD) advised on the transactions.