Inovalis Real Estate Investment Trust (REIT) (TSX: INO.UN) has announced the signing of an exchange contract to sell the Sablière property to a third party for €18.2 million ($26.4 million). This strategic move reflects the REIT’s ongoing efforts to optimize its portfolio and strengthen its financial position. The transaction, expected to close by the end of Q1 2025, is subject to certain conditions.
Net proceeds from the sale are projected to be approximately €8.9 million ($13.0 million). The REIT plans to allocate these funds toward capital expenditures for repositioning and redeveloping its existing properties, as well as reducing its debt obligations. This dual approach aligns with Inovalis REIT’s strategy to enhance asset value and maintain a sustainable financial foundation.
Conditional Closing
The completion of the Sablière property sale hinges on the fulfillment of specific conditions. While Inovalis REIT remains optimistic about finalizing the transaction within the expected timeline, it acknowledges the inherent uncertainties. There is no guarantee that all conditions will be met, nor that the transaction will proceed on the currently agreed terms. The REIT has committed to disclosing any material changes to the terms of the deal, should they occur.
Strategic Vision
The sale is part of Inovalis REIT’s broader strategy to streamline its portfolio and focus on high-value investments. By divesting select assets like the Sablière property, the REIT aims to reallocate resources toward repositioning and redevelopment projects that can drive long-term growth. This approach also provides the flexibility to address market challenges and leverage new opportunities in its key markets.
About Inovalis REIT
Founded in 2013, Inovalis Real Estate Investment Trust is listed on the Toronto Stock Exchange and specializes in office property investments across major markets in France, Germany, and Spain. The REIT’s portfolio currently includes 13 assets, strategically located to capitalize on demand in key economic hubs.
Inovalis REIT acquires its properties indirectly through CanCorpEurope, an Alternative Investment Fund (AIF) authorized by the Commission de Surveillance du Secteur Financier (CSSF) in Luxembourg. These acquisitions are managed by Inovalis S.A., ensuring a disciplined and efficient investment process.
About Inovalis Group
Inovalis S.A., the parent company behind Inovalis REIT, is a French Alternative Investment Fund Manager (AIFM) authorized by the French Securities and Markets Authority (AMF). Founded in 1998, Inovalis S.A. has established itself as a leading pan-European real estate investment firm with a diverse range of services and investment vehicles.
The group manages approximately €7 billion in assets under management (AUM) and operates out of major financial centers, including Paris, Luxembourg, Madrid, Frankfurt, Toronto, and Dubai. Its 300-strong team offers a comprehensive suite of services, including fund management, asset and property management, and wealth management solutions.
In addition to managing Inovalis REIT, the group oversees a variety of other investment vehicles. These include open-ended funds such as Eurovalys, focused on German real estate, and Elialys, targeting Southern European markets. The group also raises private thematic funds in partnership with institutional and private investors, pursuing specialized real estate strategies and direct co-investments.
