Tishman Speyer, the global real estate developer and investor, has refinanced the 1.45m sq ft Lumière Building with a €472m bond private placement arranged by BNP Paribas, in both a first-of-its-kind private placement in France as well as the country’s largest single-asset real estate financing in five years.
BNP Paribas, along with with a consortium of French insurers comprised of Cardif, CNP and Predica, took up the €472m bond issuance, repaying the maturing legacy debt which is secured by a first-ranking mortgage on Lumière Building.
Lumière Building – comprised of 1.345m sq ft of office space, 97,000 sq ft of retail and 22,600 sq ft of warehousing – is the largest privately-owned office building in Paris located at 40 Avenue des Terroirs de France in Bercy St-Emilion, the Eastern business district, and is 100% leased to tenants.
The two largest leases are to the French Ministry of Interior, which occupies 400,000 sq ft, and Natixis, which occupies 210,000 sq ft. Other significant leases include SNCF, ING Direct, Crédit Foncier, Société Générale, Zara and Foster Wheeler.
Tishman Speyer bought Lumière complex from Blackstone in February 2006 for €675m, through its European Strategic Office Fund, a long-term core fund focused on prime properties in major European cities.
Built in 1992, the Lumière consists of seven floors above the two- story lobby level. The building also includes a 200-seat auditorium, 1,700 underground parking spaces, and a 55-crib day care center for infants.
BNP Paribas Corporate and Investment Banking acted as sole arranger, structuring advisor and placement agent in this transaction. BNP Paribas was advised by Gide Loyrette Nouel in this transaction. Tishman Speyer was advised by Wargny Katz, De Pardieu Brocas Maffei and Finae Advisors.