FREY and GIC Join Forces to Invest €400 Million in European Retail Parks
The listed property company announced on November 12, 2026 a partnership to create an investment vehicle in which GIC will hold 80% of the capital. FREY will retain 20%, will handle its operational management, and will contribute three retail parks from its portfolio, located in France, Spain and Portugal.
A Vehicle Targeting Mid-Sized Retail Parks in Western Europe and Poland
FREY's partner, GIC, is a long-term investor established in 1981 to manage Singapore's foreign exchange reserves. The vehicle will target existing premium retail parks of mid-sized scale, with a retail floor area between 5,000 m² and 35,000 m², located in Western Europe and Poland.
Outside this scope, FREY states that it will continue to pursue acquisition opportunities through its own balance sheet and existing investment strategies. The vehicle will be accounted for under the equity method in the group's consolidated financial statements, whose assets represent €2.7 billion on a group-share basis.
Three Assets Contributed, One of Which Exceeds the Targeted Size Range
The initial portfolio comprises Woodshop in Cesson (France), with a surface area of 34,222 m² and acquired in 2016, Algarve Retail Park in Albufeira (Portugal), with 13,402 m² and acquired in 2019, and Parque Mediterráneo in Cartagena (Spain), with 57,768 m² and acquired in 2022.
The latter asset exceeds the upper limit of 35,000 m² set for the vehicle's investment scope. The three sites together represent a total value of approximately €176 million.
Management Expects an Accretive Effect on Earnings per Share as Early as 2027
For Antoine Frey, Chairman and Chief Executive Officer, "the time is ideal to accelerate our investment strategies," while premium retail parks continue to offer, in his view, "attractive valuations." The group presents the transaction as a lever for optimizing the allocation of its capital, alongside its other asset class, outlet villages.
Sébastien Eymard, Deputy Chief Executive Officer, highlights that the partnership allows FREY "once again to rely on third-party capital." He specifies that "the business plan of this vehicle should have an accretive effect on earnings per share (EPS) and net asset value (NAV) as early as 2027."
