PGIM Real Estate has acquired a residential portfolio of two properties, located in the 16th arrondissement of Paris, on behalf of its European core strategy. PGIM Real Estate is the real estate investment and financing business of PGIM, the US$1.5 trillion global investment management business of Prudential Financial, Inc. (NYSE: PRU).
The two residential buildings in the portfolio are located in the heart of the 16th arrondissement, in one of the most established residential markets in Paris, close to the Arc de Triomphe, avenue Victor Hugo and rue le Sueur.
The first asset called Le Sueur, located nearby Avenue Foch, offers 5,300 sqm of floor space in 47 apartments. Built in the 1930s, this Art Deco-style property contains luxury flats, numerous terraces and stunning views. The second asset, a typically Haussmann-style building named Victor Hugo, has a total surface area of 1,700 sqm, including six high-end flats, a small house on the courtyard and a shop. This property will be the subject of an extensive modernisation project.
The location and high architectural quality of these buildings make them perfectly suited to the prime Parisian and international family rental demand.
Jocelyn de Verdelon, Head of France at PGIM Real Estate says: "This acquisition, which is our first Core residential rental transaction in France, is perfectly in line with our European core strategy and demonstrates our ability to secure attractive transactions in highly competitive markets such as the Paris residential market. These prestigious assets provide secure and resilient income while offering attractive rental reversion potential."
For this operation, PGIM Real Estate was accompanied by Pramena Investment, its asset manager partner in residential rental real estate, and advised by Cheuvreux Notaires, De Pardieu Brocas Maffei, Maître Marc Gaillard and Builders & Partners. Broker on this operation was Cushman & Wakefield.