Unibail-Rodamco-Westfield to sell Paris office building for €850m

Company News

by Anna Napoli

Unibail-Rodamco-Westfield (ASX:URW) has today announced an agreement with a consortium of institutional buyers for the sale of Tour Majunga in La Défense.

The net disposal price of €850 million represents a premium to the December 2018 book value.

Tour Majunga is an office building with a gross lettable area of over 67,000 square metres located in the heart of La Défense business district in Paris.

This transaction is subject to standard conditions precedent and is expected to close in early July 2019.

Unibail Rodamco says upon the closing of this transaction, the €3 billion of disposals announced in December 2017 will have been exceeded. These disposals were made at an average net initial yield of 4.5 per cent and an average premium above book value of 7.2 per cent.

Shares in Unibail-Rodamco-Westfield (ASX:URW) closed -1.35 per cent lower at $11.74.