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TIAA-CREF and CNP Assurances Announce Real Estate Joint Venture to Invest in German Retail Properties
New York, November 21, 2013 – TIAA-CREF, a leading financial services provider, today announced a joint venture with CNP Assurances, a leading French insurance company, to co-invest in three retail properties in Germany.
The portfolio has a gross value of $1.2 billion (€924.1 million) and consists of shopping centers across Germany: PEP (Munich), Erlangen Arcaden (Erlangen) and Gropius Passagen (Berlin).
TIAA-CREF acquired the assets and will manage them on behalf of the newly created joint venture. AEW Europe advised CNP Assurances on the deal.
TIAA-CREF has been investing in Europe for almost 20 years and in German retail properties since 2007, when it developed the Erlangen Arcaden.
“Germany’s improving economy and limited supply of retail space continue to make these properties attractive assets in TIAA-CREF’s global real estate portfolio,” said Tom Garbutt, head of global real estate for TIAA-CREF. “This joint venture, with a partner like CNP Assurances who shares our long-term vision, will allow us to further diversify our portfolio and take advantage of investment opportunities that we believe will add value over time.”
The joint venture will pursue active asset management strategies and value creation opportunities, leveraging TIAA-CREF’s property-level operational experience and overall real estate management expertise to realize full value for its investments.
Today’s announcement advances TIAA-CREF’s strategy to manage assets in partnership with sophisticated investors around the world. TIAA-CREF currently manages real estate investments on behalf of sovereign wealth funds and other institutions in the United States. This partnership is the first in which TIAA-CREF manages European-based properties for a joint venture.
TIAA-CREF directly owns more than $28.5 billion in gross assets (as of 9.30.13) of primarily high-quality properties in the office, retail, industrial and multifamily sectors across the United States and Western Europe.
TIAA-CREF (www.tiaa.org) is a national financial services organization with $542 billion in assets under management (as of 9.30.13) and is the leading provider of retirement services in the academic, research, medical and cultural fields.
About CNP Assurances
CNP Assurances is France’s leading personal insurer, with net profit of €951 million in 2012. The group also has operations in other European countries and in Latin America, with a significant presence in Brazil. It serves 27 million insureds under personal risk and protection contracts worldwide and 14 million savings and pensions policyholders.
For 160 years, CNP Assurances’s business has been to promote confidence in the future by offering products that protect against the risks of everyday life. The group designs and manages life insurance, pension, term credit or insurance and personal risk insurance products. The products are distributed by partners that have a strong market presence.
In France, CNP Assurances distributes its individual insurance products through La Banque Postale and the Caisses d’Epargne, as well as through its own CNP Trésor network. In Brazil, its second largest market, the group’s partner is Caixa Econômica Federal, the country’s second biggest state-owned bank.
In group insurance, CNP Assurances crafts tailor-made personal risk, pension and term credit or insurance products that are aligned with the needs of companies, local authorities, mutual insurers, nonprofit organizations, and banks in Europe and Latin America.
Listed on the first market of the Paris Bourse since October 1998, CNP Assurances enjoys the backing of a core group of four major shareholders (Caisse des Dépôts et Consignations, La Banque Postale, Groupe BPCE and the French State) united by a shareholders’ agreement.