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LaSalle secures planning permission to redevelop Bergère, a transformational office in the heart of Paris

The building is renowned for its striking façade and exceptional architectural features, such as the main atrium and the monumental staircase.
December 11, 2023
  • London (December 11, 2023) – LaSalle Investment Management (“LaSalle”), the global real estate investment manager, has secured planning permission to redevelop and refurbish Bergère – a landmark office-led, highly-amenitized workspace project in Paris.

    The building is renowned for its striking façade and exceptional architectural features, such as the main atrium and the monumental staircase. Redesigned by the leading French architectural firm PCA-Stream, the redevelopment is expected to complete by Q1 2026 and will have a lettable floor area of approximately 26,500 square meters.

    Located in the 9th Arrondissement, in the heart of Paris, the building is in a prime location surrounded by a thriving cluster of companies from across technology, fashion, and financial and professional services. It forms part of a vibrant urban environment with a high concentration of restaurants, bars, shops, department stores, and cultural and leisure facilities. The demand-supply imbalance for office space in the area remains acute, with Paris CBD vacancy at 1.9% compared to a European average of 7.4% as of Q3 2023, according to JLL. The area also boasts excellent transport links, just 150 metres from the Grands Boulevards metro station, providing immediate access to three of Paris’s largest transportation hubs: Gare du Nord, Saint Lazare and Chatelet – Les Halles.

    The new development will meet future tenant requirements and evolving work trends, offering state-of-the-art environmental performance ratings with high-quality amenities. These include amenities to promote in-person interaction and hybrid working, including an auditorium, business center, bars and restaurants, event spaces and a media broadcast studio. It will house 442 bicycle parking spaces, with direct access from the street, as well as changing rooms, fitness facilities and 75 EV charging stations. It will also comprise street-facing food and beverage, and a retail unit designated for affordable rent for social impact-related businesses to support the local community. It will also increase the site’s green outdoor space by 50% to more than 2,000 sqm, including a garden, two court yards and two rooftop terraces.

    The project will be redeveloped with industry-leading sustainability processes and credentials in mind. This comprehensive development will involve a sensitive restoration of the building’s architectural heritage while upgrading the technical equipment to meet operational Net Zero Carbon goals. It will also prioritise the reuse of materials to reduce the projected embodied carbon associated with the project.

    The building aims for a BREEAM Excellent and HQE Excellent certification with a 50% reduction in operational CO2e, and a BBCA (Bâtiment Bas Carbone) targeting a 20% reduction in embodied CO2e compared to existing Parisian office refurbishment benchmarks. It will also target the BiodiverCity label for its increase in green space and biodiversity onsite, and the project has been designed to meet the Décret Tertiaire 2050 requirements.

    LaSalle has appointed JLL as principal leasing agent, with CBRE and BNP Paribas. 

    David Ironside, Fund Manager of LaSalle Encore+, commented: “The refurbishment and redevelopment of Bergère will provide a truly revolutionary workspace in the heart of Paris. The European office market has become polarised, with performance increasingly distinguished by quality, location and sustainability credentials. There is growing demand for centrally-located, recently refurbished assets with superior environmental performance ratings that align with the new standards of tenant expectations. Bergère will meet all these demands, and we are excited to unveil this new development.”

    Marc Fauchille, Head of Development and Re-purposing, Europe, LaSalle Investment Management, added: “Central Paris is one of the strongest European office markets, with extremely low vacancy rates and rising demand for the highest quality space. We expect this highly amentizied building will benefit from increasing rental growth due to its outstanding central location and features that appeal to tenants and the people who work, live and socialise in this area. We will also be allocating space to support local social impact-related business, which we hope can make a real positive difference in the neighbouring community.”

    LaSalle acquired Bergère, on behalf of Encore+, its flagship open-ended pan-European fund, in May 2020 from BNP Paribas in a sale-and-leaseback transaction.

    Ends

    About LaSalle Investment Management | Investing Today. For Tomorrow.
    LaSalle Investment Management is one of the world’s leading real estate investment managers. On a global basis, LaSalle manages approximately $78 billion of assets in private and public real estate property and debt investments as of Q1 2023. LaSalle’s diverse client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals from across the globe. LaSalle sponsors a complete range of investment vehicles, including separate accounts, open- and closed-end funds, public securities and entity-level investments. For more information, please visit www.lasalle.com, and LinkedIn.

    Marketing Disclaimer: This information is based on the market analysis and expectations of LaSalle and should not be relied upon by the reader as research or investment advice regarding LaSalle funds or any issuer or security in particular. The information presented herein is for information purposes only and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy in any jurisdiction where prohibited by law or where contrary to local law or regulation. Any such offer to invest, if made, will only be made to certain qualified investors by means of a private placement memorandum or applicable offering document and in accordance with applicable laws and regulations. Past performance is not indicative of future results, nor should any statements herein be construed as a prediction or guarantee of future results. Please refer to the offering documents Encore+ for detailed information on the risks, reward and performance information of the Fund.

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