Fonciere des Regions Sells 25% Stake in CB21 Tower in Paris's La Defense
Fonciere des Regions SA, France’s second-largest publicly traded office landlord, agreed to sell a 25 percent stake in the CB21 tower in Paris’s La Defense business district for about 150 million euros ($198 million).
The sale to an unnamed institutional investor values the 180-meter (591-foot) tower at 588 million euros, the Metz-based company said in a statement today. Almost two thirds of the 49- story building is leased by Suez Environnement SA.
FDR paid 486 million euros to buy the property, formerly known as the GAN tower, from insurer Groupama SA in July 2007. FDR renovated the building, originally built in 1974, and said it’s in talks to lease the remaining 22,000 square meters (236,806 square feet) of vacant space. It expects CB21 to generate annual rental income of 34 million euros when full.
FDR declined 1.1 percent to 73.02 euros as of 10:45 a.m. in Paris trading. That cut this year’s gain to 8.1 percent, giving the company a market value of 3.92 billion euros.
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