AXA Investment Managers - Real Assets completes purchase of €1.1 billion prime European office portfolio through acquisition of NYSE listed Northstar Realty Europe
AXA Investment Managers - Real Assets (“AXA IM - Real Assets”), a global leader in real asset investments and the leading1 real estate portfolio and asset manager in Europe, announces that it has completed the acquisition (the “Acquisition”), as part of a core strategy on behalf of a client, of the entire issued share capital of NorthStar Realty Europe Corp. (NYSE: NRE) (“NRE” or the “Company”), a NYSE listed real estate investment trust. The acquisition was approved at a special meeting of NRE stockholders held on September 25, 2019 and NRE will be delisted from the NYSE.
Further to AXA IM – Real Assets’ announcement of 4 July 2019, the final consideration for the Acquisition after the settlement of the previously disclosed forward exchange contracts to hedge the non-U.S. dollar portions of the merger consideration represents a price of U.S.$17.01 per NRE share.
Through a single transaction, the Acquisition provides AXA IM - Real Assets with immediate access to a €1.1 billion, 122,000 sqm (1.3 million sq ft) portfolio (the “Portfolio” 4) of modern, prime and well located office space in key European cities within Europe’s three core markets of Germany, the United Kingdom and France. The Portfolio also includes two hotels in Berlin which total 334 rooms across 12,000 sqm.
Commenting on the acquisition John O’Driscoll, European Head of Transactions at AXA IM – Real Assets, said: “This transaction affords us the rare opportunity to secure a significant portfolio of prime European offices and hotels which we now look forward to integrating into AXA IM - Real Assets’ wider portfolio of core European real estate assets under management. The properties, which are all located in the major cities of Europe’s largest economies of France, the U.K. and Germany, have high occupancy and produce strong levels of income that are ideally suited to our clients, whilst offering longer term potential for both asset management and further income generation.
“This transaction is also a clear example of our highly flexible 360-degree approach to investing in real estate via debt or equity and through a range of private or public entry points, including complex corporate acquisitions.”
1 Source: INREV/ANREV Fund Manager Survey – May 2019 – in terms of assets under management
AXA Investment Managers - Real Assets
Jocelyne Tamssom, Head of Communications
Tel: +33 1 44 45 97 95
FTI Consulting Inc.
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About AXA Investment Managers
AXA Investment Managers (AXA IM) is an active, long-term, global, multi-asset investor. We work with clients today to provide the solutions they need to help build a better tomorrow for their investments, while creating a positive change for the world in which we all live. With approximately €757 billion in assets under management as at end of June 2019(1), AXA IM employs over 2,350 employees around the world and operates out of 30 offices across 21 countries. AXA IM is part of the AXA Group, a world leader in financial protection and wealth management.
About AXA Investment Managers - Real Assets
AXA Investment Managers - Real Assets has €85 billion in assets under management, including €64.3 billion in direct property & infrastructure and €16.9 billion in real asset finance as of end of June 2019(2). We offer a 360° approach to investing in real assets, which comprises opportunities in equity or debt, across different geographies and sectors, as well as via private or listed instruments. We are a global leader in real assets investment, the number one property portfolio and asset manager in Europe(3), and one of the largest worldwide. Our teams have been managing funds and mandates for over 30 years and comprise over 600 people in 13 offices that operate in over 20 countries around the world, which provide us with in-depth knowledge of countries, cities and sectors.
AXA Investment Managers is part of the AXA Group, a world leader in financial protection and wealth management.
Visit our websites: www.axa-im.com / https://realassets.axa-im.com
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1 Source: AXA IM unaudited data
2 Source: AXA IM - Real Assets’ unaudited data
3 Source: INREV/ANREV Fund Manager Survey – May 2019 – in terms of assets under management