On October 31st 2023, AB Alternative Fund SICAV-SIF, European Real Estate sub-fund, , has signed two new leases with the current tenant AGC Glass Europe on 7’587 sqm and a new tenant, Lefebvre Sarrut, through its subsidiary Larcier Intersentia, on 1’313 sqm for 9 years starting in 2028, right after the current lease with AGC Glass Europe expires.
The current tenant, AGC Glass Europe is and the European branch of the AGC Inc. Group (S&P LT rating “A-“), the largest glass company in the world and one of the core Mitsubishi company. It produces, processes and distributes flat glass for the building industry (external glazing and interior decorative glass), the automotive industry (OEM and replacement glass) and various other sectors such as transport, solar power and high-tech applications. AGC Glass Europe has been occupying the property since its delivery in 2013. The building was originally designed as built to suit to welcome the company’s European HQ benefitting from a sustainable, timeless and innovative architecture as well as a BREEAM excellent certification. With natural light from all angles and low consumption, the building aims to be the showcase of the glass solutions of the AGC Glass group in terms of design, durability and innovation. The company will keep the greatest part of the property including the gallery and the restaurant from 2028 onwards.
Since 2016, Larcier-Intersentia is part of the Lefebvre Sarrut Group, the European leader in legal, tax and regulatory fields, operating in 8 countries: Germany, Belgium, Spain, France, Italy, Luxembourg, the Netherlands and the United Kingdom. Lefebvre Sarrut is a family story imbued with entrepreneurial and humanistic values. Born in 1999 from the joining together of two historical key players in legal and tax publishing, Éditions Francis Lefebvre and Éditions Législatives, Lefebvre Sarrut has since significantly grown in France and Europe and has structured itself around three areas: publishing, training and software development. Lefebvre Sarrut has more than €2’500 employees worldwide and generates more than €535m in turnover every year.
This asset management achievement is part of our strategy to further increase the value and the weighted average lease term (“WALT”) of the fund, which now stands at 6 years. Daniel Deléchat, Head of Asset Management at Arab Bank (Switzerland) Ltd., comments on this excellent news: “In these difficult times and economic uncertainty, with all assets witnessing a repricing due to the hiking in interest rates, consolidating our future income stream with the signature of these two excellent quality leases will help us unlock value and stabilize our portfolio to navigate the current economic turmoil the best we can.”
The leases were negotiated and advised by Savills Investment Management, and K&L Gates as legal advisor of the fund.