Swiss Life to acquire €1.7b office portfolio in Paris

Swiss Life Asset Managers is set to acquire a Paris CBD prime office portfolio from Terreis.

The companies have signed a memorandum of understanding for a total of 28 core office properties valued at €1.7 billion ($1.9 billion).

Transfer of ownership is expected to take place by second quarter 2019.

Approximately 90 percent of the portfolio is the Haussmann architectural style buildings are mainly located across the 1st, 2nd, 8th, 9th and the 10th districts. Today, these areas are preferred by diversified companies from luxury to new technology industries, according to Swiss Life.

Paris counts as one of Europe’s most sought-after real estate markets, with low vacancy rates and rising rents in the office sector. Furthermore, new office developments are rare in the French capital. This applies in particular to the CBD area where supply only increased by 60 percent over the past 40 years. This scarcity of supply further enhances the attractiveness of