Osae Partners, a private equity real estate specialist investing in France, announces the closing of its initial fund, Osae Real Estate Partners I - targeting mostly Greater Paris - at €250 million. Following the just completed closing of its fifth deal, the purchase of a seven-story office building near the Musée d’Orsay in central Paris, the fund is 40 percent invested. The imminent close of two further secured deals will increase OREP I’s deployment to 60 percent of committed capital.
“Covid-19 has upended many assumptions in Paris real estate from financing to lease terms, but it hasn’t changed fundamental long-term demand or the deep pool of liquidity that’s available for investment,” says Osae founder and CEO, Laurent Halimi. “We anticipate no letup in our ability to turn Covid-19 related market dislocation into a positive - not only for our fund but for the urban fabric.”
Osae seeks investment outperformance through the pro-active conversion of sub-optimally developed and managed real estate into top-tier, mixed-use properties in sought after locations. The firm partners with promoters, developers and other stakeholders in a wide range of real estate projects. The firm’s industry network and its approach to complexity provides Osae with access to off-market transactions (i.e.not subject to auction processes). The Osae team has been investing together for 13 years - including 11 at Weinberg Capital Partners - and has historically generated strong returns for investors while providing cutting-edge accommodation in everything from offices to residences.
OREP I fund’s latest investment, Project Orsay, is a striking 24,800 square-foot corner office building (254 Boulevard St. Germain) dating from 1900. It will be thoroughly redeveloped over nearly two years. On completion in Q4 2022 it will offer contemporary integrated office space with numerous services. The building’s Haussmannian facade will be preserved and its interior courtyard relandscaped and improved. Project Orsay was financed through a whole-loan structure provided by SCOR Investment Partners.
Triago and Evidence Capital advised Osae on fundraising for OREP I. The fund secured capital from French and international limited partners ranging from family offices to institutional investors, with the latter making up the majority of commitments.