Kering and Ardian today announced the execution of a joint venture agreement effective immediately regarding the Kering property located at 715-717 Fifth Avenue in New York City. This exceptional location on one of the world’s most iconic avenues comprises multi-level luxury retail spaces totaling approximately 115,000 sq. ft (10,700 sq. m.).

Following the partnership concluded earlier this year, Kering is contributing this asset to a newly created joint venture with Ardian, which will hold a 60% stake, with Kering retaining 40%. Kering's interest in the joint venture will be accounted for under the equity method as of today.

The transaction amounted to USD900 million (EUR766 million), with net proceeds for Kering USD690 million (EUR587 million).

Jean-Marc Duplaix, Kering Chief Operating Officer, declared: "As we continue to execute our strategy regarding the management of our real estate portfolio, we are pursuing our successful partnership with leading investment firm Ardian. Like the investment agreement already signed in Paris, this transaction allows us to secure another long term highly prominent retail location for our Houses while enhancing our financial flexibility”.

Stéphanie Bensimon, Member of the Executive Committee and Head of Real Estate at Ardian, commented: "We are thrilled to continue our partnership with Kering. 715-717 Fifth Avenue offers exceptional visibility and long-term value. This marks Ardian’s first real estate investment in the United States and our strategic expansion into this highly attractive market.”

Omar Fjer, Head of Real Estate France and Managing Director at Ardian, concluded: "This transaction reflects Ardian’s expertise in structuring innovative partnerships and securing assets with exceptional fundamentals. We are truly committed to acquiring and managing ultra prime assets in the most sought-after locations, which deliver lasting value for our stakeholders.”

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(Press Release)