French property bought for R435m

SCHRODER European Real Estate Investment Trust (Sere) has completed the purchase of a multi-tenanted office property in Saint Cloud in Ile de France in Paris for about €30 million (R435.25m). The company, which is listed on the London Stock Exchange and the JSE, said yesterday this was its eighth acquisition and it had now invested €185m at a blended net initial yield of about 6.3 percent in selected liquid and established Western European growth cities. It said the acquisition was entirely consistent with the company’s stated strategy of investing in growth cities benefiting from urbanisation, demographic change and infrastructure improvements. The company added the new Grand Paris public transport connection would be completed alongside the building in 2025, which was expected to provide significantly improved accessibility to this part of Paris. Tony Smedley, the Sere fund manager, said this off-market acquisition was secured on favourable terms. – Roy Cokayne SIRIUS