LONDON-Kenmore has made its first foray into continental Europe with the €25 million ($27 million) purchase of a portfolio of eight French industrial estates from MMI Industries. The properties are all located in the Ile de France region, focussed on the Francilienne and the A86 orbital road routes around Paris.
The portfolio comprises approximately 430,000 ft2)sf of industrial space let to 49 tenants. The current income totals approximately €2.715 million ($2.9 million) which provides a 10% net initial yield.
This first deal was quickly followed by Kenmore agreeing to fund a 76,000-sf prelet industrial development in Evry, near Paris. The purchase price was € 4 million ($4.3 million) again producing a net initial yield of 10%. King Sturge advised Kenmore in both transactions.
And more such deals are likely to follow, according to Kenmore Director Rob Brook. “We have earmarked £100 million ($160 million) to invest in the French industrial market which we hope to invest over the next 12 months. We will then turn our attention to other geographical markets,” Brook said.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
