France's ERAFP in debut foreign property purchase
ERAFP, the pension fund for French civil servants, has bought a Stockholm office property for SEK 546m (€60.4m).
AXA Real Estate Investment Managers bought the prime Blåfjäll 1 building in Kista on behalf of ERAFP. The purchase is the fund’s first to be made outside France.
The €17bn pension fund mandated AXA in July last year to source investments for its first venture into European real estate. ERAFP could invest up to €350m of capital over the next three years in the sector.
AXA Real Estate was specifically asked to source and manage a portfolio of unlisted property assets, with a focus on the office and retail sectors. Blåfjäll 1 is currently fully-let following renovation to Ericsson, which has its headquarters next door.
Henrik Bastman, AXA Real Estate head of asset management in the Nordic Region, said the region’s ”robust economic fundamentals have proved their resilience in recent years”.