CBRE Global Investors acquires Marché Saint Honoré in Paris CBD
CBRE Global Investors has completed the acquisition of the iconic Marché Saint Honoré building in Paris, on behalf of one of its funds. A sales price was not disclosed.
“The fantastic location and uniqueness of the building allows our fund to pursue a long-term strategy with a core tenant in a core location,” said Gautier Beurnier, head of transactions France, CBRE Global Investors. “There is also considerable potential to upgrade the building in order to meet demand from new tenants for large modern office and retail space in the heart of Paris.”
The property, located in the heart of Paris, comprises circa 160,000 square feet of office space and circa 19,000 square feet of retail space. The building is mainly occupied by BNP Paribas Bank who will remain in the premises over the next few years.
“This acquisition fits perfectly within our strategy to invest in the most attractive European cities with strong long-term economic fundamentals,” said John Mulqueen, head of transactions EMEA, CBRE Global Investors. “Paris is one of our key target markets and we are delighted to have secured this exceptional asset on behalf of our client.”
The French economy has been recovering since 2014 with activity rising by 1.9 percent in 2017, according to Colliers International. The office market is also showing the same recovery with rising business-leader confidence encouraging companies to move forward with real estate projects.
2017 was particularly active toward the end of the year with a record transaction volume of 9.2 million square feet during the fourth quarter 2017, which enabled the full-year take up volume to reach 28 million square feet, representing an 8 percent increase compared with 2016.
Activity therefore returned to the levels seen before the 2008 crisis and this was the second consecutive year of take-up being higher than the average for the last 10 years, 25 million square feet of take up.