12 Boulevard de la Madeleine

Located at the southwest tip of Paris’s 9th arrondissement, close to the famous Église de la Madeleine church, no. 12 Boulevard de la Madeleine stands as a symbol of PIMCO Prime Real Estate’s capabilities in delivering value-adding refurbishments of historic buildings – in this case, one in the Haussmannian architecture typical of this area of Paris.

’12 Madeleine’ is a six-story, single-tenant office with retail units on the ground floor that has been part of PIMCO Prime’s portfolio for many decades. The building, with its stone construction and ornate detailing, exudes historic charm. In 2018, as the lease of the office tenant of more than 20 years was set to expire, PIMCO Prime launched an ambitious refurbishment program which would not only restore the property to its former glories but add the smart technologies to ensure its long-term future-proofing. This promise alone was enough to convince the tenant to immediately re-sign a new long-term lease reflecting the to-be-delivered higher quality of their space and at a rent level aligned to the market. Furthermore, with the anticipated departure of the retail tenants, a proactive re-leasing strategy secured occupancy of the retail space on completion of the works in 2022.

The renovation covered the complete restoration and waterproofing of the building’s façade, replacement of all windows, the installation of four new air treatment units and a significant upgrade to the building management system. The quality of the work earned 12 Madeleine the BREEAM Refurbishment & Fit-out ‘very good’ standard, underlining the attention paid to sustainability practices and features.

Significant upgrades, long leases and sustainability certificates meant that, at stabilization, the asset’s value had increased by more than 12%. A higher quality of space for our tenants, value-creation for our clients.