Covivio announces the sale of its share in two office buildings to Crédit Agricole Assurances for a total price of €325 million . The properties concerned are “Carré Suffren”, a 25,000 m² building located in Paris 15th, and “Campus Eiffage”, a 33,000 m² complex in Vélizy-Villacoublay. This deal brings the total amount of new sale commitments signed by Covivio since the start of the year to over €880 million, generating an average margin of +3,4% on the latest appraisal values.
Two examples of Covivio’s value-creating strategy
Located in Paris 15th, Carré Suffren is a 25,000 m² real estate complex. Purchased by Covivio and Crédit Agricole Assurances in 2004, Carré Suffren was redeveloped and delivered in 2009. Further work was carried out in 2020-2021 involving the complete renovation of the service offer and communal areas. The building, which is fully let, is BREEAM, HQE, WiredScore and BiodiverCity certified. Its tenants include AON, Equinix, OECD, CNCCFP and 1001 Vies.
Campus Eiffage, purchased in 2010 and extended in 2013 in partnership with Crédit Agricole Assurances, is located in the Vélizy-Meudon business district forming part of the Paris-Saclay science and technology cluster. Covivio has been involved in this flagship tertiary district since 2003, rolling out a strategy of turnkey rental campuses for key accounts including Dassault Systèmes and Thalès.
The Eiffage Campus of 33,000 m² is NF Bâtiments Tertiaires, HQE, BREEAM and Effinergie certified.
Portfolio rotation: 2021 disposal target exceeded
The latest disposals bring the total new sales signed year-to-date by Covivio to over €880 million, thereby exceeding its 2021 target of over €600 million. This success achieved at an average margin of +3,4% on the latest appraisal values reflects investor interest in quality office buildings.
Proactive rotation of the office portfolio enables Covivio to enhance the centrality of its portfolio while contributing to the financing of its development projects.
“Rotating the portfolio to reinvest in prime real estate development is an integral part of Covivio’s long-term strategy. The sale of these two assets allows us to realise the entire value created over the past years thanks to the quality and relevance of our development and asset management policy. This deal also confirms the strength of our long-term partnership with Crédit Agricole Assurances.” Christophe Kullmann, Covivio Chief Executive Officer