Klepierre, France’s largest property company, is to consider an expansion into England as it looks to triple the size of its Klemurs subsidiary.
Chief financial officer Jean-Michel Gault, committed to enlarging the subsidiaries wider operations from E300m (£206m) to close to E1bn (£687m), this morning.
Gault did not confirm the desired timescale for this growth but said the company was actively evaluating new markets and opportunities, including the UK by means of a sale and leaseback.
‘The externalisation of real estate by UK retailers would be an opportunity for us but a sale and leaseback would be the preferred way in.’
Klepierre formed the Klemurs business specifically to purchase the real estate assets of large retailers. The subsidiary has SIIC status and was seeded in France with 128 Buffalo Grill restaurants. Gault said the company would favour portfolios with development and asset management potential.
Klepierre is also to poised to syndicate a loan of between E800m-E1bn (£549m-E687m) on a seven year basis which will be announced towards the end of next week. This aimed at aiding the company to reach its spending target of E1bn (£549m) a year. The company traditionally generates E150m-E200m (£102m-£137m) a year based on cashflows with the remainder raised through debt.
