(PARIS) – Hines, the international real estate firm, and German investment company Universal-Investment, have successfully completed the acquisition of 114 Champs-Elysées along with the long-term lease with Apple for approximately €600 million from independent investment company the EPI Group, on behalf of the Bayerische Versorgungskammer (BVK).
The 5,500-square-meter retail asset will become Apple’s European flagship store in Continental Europe after a comprehensive refurbishment program designed by Pritzker prize-winning architect Sir Norman Foster of Foster + Partners.
Peter Epping, senior managing director – investment management for Hines and fund manager for the BVK account, said, “Located on one of the most iconic avenues in the world, the acquisition of 114 Champs-Elysées is a significant strategic investment for BVK which complements its existing retail holdings across Europe. We are proud to have worked on such an important deal.”
Lars Huber, CEO of Hines Europe, added: “This latest acquisition is an excellent example of our strategy to invest in prime permanent retail assets across Europe. This deal further demonstrates our strong partnership with BVK, and our commitment to the retail sector in France. We will continue to assess investment opportunities of similar high quality in Paris’ most dynamic locations.”
Xavier Musseau, managing director of Hines France, said, “We are very proud to finalize such an emblematic transaction on such a beautiful avenue and with Apple as the tenant. This transaction confirms how relevant our investment management model is proving to be, enabling us to secure off-market deals and increase our portfolio of assets under management to €3 billion in France. Our aim is to continue to focus on the high-street retail sector.”
Evrard de Montgolfier, Deputy Managing Director of the EPI Groupe in charge of investment, adds: “We are pleased to have completed the sale with the Hines teams acting on behalf of BVK. This operation confirms the major work carried out by the EPI teams, from the acquisition in 2009 to the lease by Apple in 2018, thus offering a unique destination fit for Apple's flagship on the Champs Elysées. We know that the Hines teams will support it over time. It was important for us to work with an investor who shares our business vision based on the pursuit for excellence and the long-term development of assets.”
Hines France led the deal supported by Lacourte Raquin Tatar, Mayer Brown, Freshfields Germany, the Lasaygues notary office, PWC and Arterlia.
The EPI teams and their advisors – Wargny-Katz Notary Offices and Les Notaires du Trocadero, Morgan Stanley, JLL, CACIB and Colyco Capital, the law firms White & Case, TAJ and Franklin – have worked together in complete confidentiality with the buyer’s advisors.
Hines is a privately owned global real estate investment firm founded in 1957 with a presence in 201 cities in 24 countries. Hines has approximately $111 billion of assets under management, including $60 billion for which Hines provides fiduciary investment management services, and $51 billion for which Hines provides third-party property-level services. The firm has 108 developments currently underway around the world. Historically, Hines has developed, redeveloped or acquired 1,295 properties, totaling over 422 million square feet. The firm’s current property and asset management portfolio includes 506 properties, representing over 210 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most-respected real estate organizations in the world.
Since entering Europe in 1991, Hines had grown its European and Eurasian platforms to include a presence in 51 cities in ten countries and Hines currently has €14.0 billion of assets under management in Denmark, France, Germany, Greece, Ireland, Italy, Norway, Poland, Spain and the United Kingdom. Visit www.hines.com for more information.
About Bayerische Versorgungskammer
Bayerische Versorgungskammer is the competence and service center for occupational and communal pension schemes and Germany´s largest pension scheme group under public law. As a public authority of the Bavarian Ministry of the Interior, it is the joint executive body of twelve liberal professions´ and communal pension schemes. Bayerische Versorgungskammer covers about 2.2 million insured persons in total, with contributions of € 4.6 billion and € 3.3 billion pension payments annually. It currently has € 72 billion assets under management and 1,270 employees. Visit www.versorgungskammer.de for more information.
With fund assets in excess of about EUR 371 billion under administration, over 1,100 funds and investment mandates and a workforce of around 650, Universal-Investment is the largest independent investment company in German-spoken Europe. The focus lies on the efficient and transparent administration of funds, securities, real assets and alternative asset classes. Founded in 1968 the company is headquartered in Frankfurt am Main and has subsidiaries and holdings in Luxemburg and Austria. As pioneer of the investment industry Universal-Investment is now market leader in the areas of master-KVG and private label funds. Owing to the strong growth since starting the real estate business in 2011, Universal-Investment established itself among the Top 3 companies for institutional open-ended real estate funds in Germany. According to the 2017 PwC ManCo Survey, Universal-Investment is the largest AIFM ManCo in Luxembourg; among the Third-Party-ManCos, Universal-Investment ranks in second place. (As per 31 March 2018). Visit www.universal-investment.com for more information.
About EPI Group
EPI is an independent investment company. The EPI Group acts as a committed shareholder with the companies it selects and supports in developing their operations and mastering their expertise. Its value creation strategy is based on two axes: on one hand, investments in the luxury sector, notably in the wine sector, with world-class Houses (Bonpoint, J.M. Weston, Piper-Heidsieck, Charles Heidsieck, Biondi-Santi, Château La Verrerie); on the other hand, financial investments, including real estate. The Group’s teams are driven by the passion and ambition to unleash the full potential of the projects and the talent it brings together.